Clearwire Gets Its Funding: $715.5M
The company netted $384.1 million through common-stock sales at $2 per share (shares closed at $2.15 Tuesday afternoon) and got another $331.4 million by selling Class B common stock to Sprint Corp. (NYSE: S).
The offering netted Clearwire a little over $30 million more than it had recently said it expected to pull in. Last Wednesday, the operator added an additional $52.5 million of stock to cover over-allotments from the original $300 million stock offering announced earlier in the week. Clearwire shares were holding flat in early after-hours trading Tuesday.
Why this matters
The numbers are somewhat higher than originally expected from Clearwire's offering. This funding, plus an additional $1.6 billion commitment from Sprint for four years of Long Term Evolution (LTE) and WiMax services, sets Clearwire up to go build its LTE network.
The latest pieces of the Clearwire saga:
— Craig Matsumoto, West Coast Editor, Light Reading