Sprint/Clearwire Acquisition Discussion (Formerly: Dish offer to acquire Clearwire for $4.40 per share in cash.)

[WiWavelength]

The writing is on the wall.  SoftBank-Sprint-Clearwire will sail through with no required divestment of spectrum.  Following the T-Mobile-MetroPCS link up that got a free pass on its mucho PCS spectrum, this comes as no surprise.  The current FCC seems willing to let the underdogs amass big bandwidth to take on the duopoly.

 

 

http://www.fiercewireless.com/story/report-fcc-wont-force-sprint-clearwire-give-spectrum-part-mergers/2013-06-28

 

AJ

[DaQue]

Did the vote get moved up from the 8th?

 

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[bigsnake49]

OK, time to get serious. What does Sprint do with all the spectrum? Yes, they will use it in a hotspot fashion in NYC, SF, a few downtowns and malls and stadiums. Fine, BFD! What about the rest of us, what benfit do we get out of all of this? How does Sprint monetize it? Do they engage with the cable cos in deploying combined WiFi/2.5GHz strand mounted DAS? I want to hear the plans damn it!

 

For me, the big benefit of Softbank's acquisition is the increased money to solidify the network using NV and the 800SMR spectrum. Why did they expend so much energy and money going after Clearwire? What's the end game?

Edited June 28, 2013 by bigsnake49

[WiWavelength]

OK, time to get serious. What does Sprint do with all the spectrum? Yes, they will use it in a hotspot fashion in NYC, SF, a few downtowns and malls and stadiums. Fine, BFD! What about the rest of us, what benfit do we get out of all of this?

 

Send in the "wambulance."  Honestly, this sounds very similar to the complaints that some of our more rural folk make about Sprint not using its large PCS 1900 MHz spectrum holdings to build out their potentially unprofitable areas.

 

Rest assured, I will have a more mature, well reasoned response later today.  But, with such an urgent situation, I had to get the "wambulance" out there right away.

 

AJ

[bigsnake49]

Send in the "wambulance."  Honestly, this sounds very similar to the complaints that some of our more rural folk make about Sprint not using its large PCS 1900 MHz spectrum holdings to build out their potentially unprofitable areas.

 

Rest assured, I will have a more mature, well reasoned response later today.  But, with such an urgent situation, I had to get the "wambulance" out there right away.

 

AJ

 

Thanks, AJ. You're a true friend .

[lordsutch]

Well, they have to cover 30% of the POPs in each license area with something, and considering that Softbank has committed to pull all the Huawei equipment Clearwire has installed (along with the need for cost reduction by eliminating leases and backhaul to locations where there's Clearwire equipment but no Sprint equipment), that probably means a lot of LTE deployment on protection sites for starters.  And when Sprint climbs towers to pull down the dead PCS-only panels they might as well put up a 2500 panel + RRU at the same time, at least in the urban/suburban areas where customer density justifies it.

[MacinJosh]

Within 3 weeks from the merger close, I expect Sprint permits to start showing up in Vegas detailing 6 panels, 3 being Network Vision permits, and the other 3 being Newer TD-LTE panels.

 

 

Sent from Josh's iPhone 5 using Tapatalk 2

[lilotimz]

Antennas... not panels... 

 

From what I understand, clearwire is reusing their old antennas. Don't expect TD-LTE applications for several months until Sprint and CW sort out their strategies. 

[WiWavelength]

Within 3 weeks from the merger close, I expect Sprint permits to start showing up in Vegas detailing 6 panels, 3 being Network Vision permits, and the other 3 being Newer TD-LTE panels.

 

My representative, Wayne Campbell, will release my statement on the matter:

 

 

AJ

[juant87]

More Lapin ramble:

 

http://www.forbes.com/sites/joanlappin/2013/06/30/thank-you-dish-and-charlie-ergen-with-love-from-clearwire-holders/?view=pc

 

 

 

Sent from my iPhone 5 using Tapatalk

Edited July 1, 2013 by juant87

[Deval]

More Lapin ramble:

 

http://www.forbes.com/sites/joanlappin/2013/06/30/thank-you-dish-and-charlie-ergen-with-love-from-clearwire-holders/?view=pc

 

 

 

Sent from my iPhone 5 using Tapatalk

 

Oh god, I read that yesterday and I wanted to throw my phone in disgust. I can't believe they still let her write for the site.

[lynyrd65]

I hope Sprint gets back what they lost in damages in the form of a personal check from Ergen himself.

 

Sent from my SCH-R970 using Tapatalk 2

 

 

[Rawvega]

Largely irrelevant concession speech from Crest:

 

 

Big shareholder Crest ends battle with Sprint over Clearwire


July 3 | Wed Jul 3, 2013 8:18am EDT

(Reuters) - Crest Financial, which owns a big stake in Clearwire Corp, said on Wednesday it is backing Sprint Nextel Corp's purchase of the rest of Clearwire, ending a protracted and noisy fight over the wireless service provider.

Crest, which hold 8 percent of Clearwire, wrote in a letter to Clearwire shareholders that it intended to vote in favor of the merger after Sprint raised its offer to $5 per Clearwire share from $2.97.

"We are proud of our campaign and stand by our analysis," Crest said in the letter.

"At the same time, with this favorable resolution, we withdraw any statements made in the heat of battle that may be construed as disparaging to Clearwire, Sprint, their directors and officers, or any other participants in this hard-fought contest."

Clearwire was in the middle of a tug-of-war ever since Sprint, its majority shareholder, offered to buy out the rest of the company.

Charlie Ergen, founder and chairman of Dish Network Corp , the satellite television provider, made a counterbid for a minority position in Clearwire because of it owned valuable communications spectrum.

Several minority shareholders launched a boisterous campaign against Sprint, trying to get the company to increase its offer. Dish bowed out after Sprint trumped its bid of $4.40 per share.

Sprint itself was the subject of a takeover battle between Japan's SoftBank's Corp and Dish. Softbank eventually won that bidding war.

 

 

http://www.reuters.com/article/2013/07/03/clearwire-crest-idUSL2N0F90GV20130703?feedType=RSS&feedName=mergersNews&rpc=43

[JeffDTD]

"Withdraw any statements made in the heat of battle"? Hmm. Sounds like someone at Crest may be paranoid about Sprint seeking damages from them as well, especially if they had given Dish written guarantee that Crest would violate the charter and meet Dish's terms

 

Sent from my Note II. Its so big.

 

[Deval]

"Withdraw any statements made in the heat of battle"? Hmm. Sounds like someone at Crest may be paranoid about Sprint seeking damages from them as well, especially if they had given Dish written guarantee that Crest would violate the charter and meet Dish's terms

 

Sent from my Note II. Its so big.

 

Lol, gotta love it. Someone's gonna get nailed to the wall for this one.

[irwinshere]

Well dish's offers were all planned to fail. No way sprint or clearwire could let a minority shareholder have veto power over the majority. Looks like a clear case of stock price manipulation by crest and dish.

 

Sent from my MB855 using Tapatalk 2

 

 

[linhpham2]

According to the KC Biz Journal, "Sprint will reimburse Crest Financial and affiliated shareholders as much as $2.5 million for costs associated with its campaign to persuade Clearwire shareholders to reject Sprint’s proposal." I wonder if that $2.5 million was the final nail needed to buy Crest's vote.

 

http://www.bizjournals.com/kansascity/news/2013/07/03/sprint-strikes-deal-with-one-of.html

Edited July 3, 2013 by linhpham2

[DaQue]

???? Sprint paying Crest? Im going to be sick.

 

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[peteyz24]

Why the heck would Sprint reimburse Crest for costs related to them trying to get the deal to fail?

[Boosted20V]

Lol, gotta love it. Someone's gonna get nailed to the wall for this one.

Apparently Sprint based on the above article.   

[Deval]

Oh crap man, I just saw that article. Oh well, just get through it, that's my motto.

[S4GRU]

Business is all about cost/benefit analysis. It is better to sail into approval paying this $2.5M to Crest than it is to try a legal fight to suggest market manipulation. Other shareholders and more importantly bondholders would be nervous to invest in Sprint in the future if they went after Crest. This is the right course of action. Just get the deal done!

 

Robert from Note 2 using Tapatalk 4 Beta

 

[linhpham2]

Update from The Hill: The FCC vote is 3-0 in favor (instead of just 2-1). No mention if any spectrum sell-off is required. From the article: "The Federal Communications Commission voted unanimously on Wednesday to approve SoftBank's purchase of Sprint...No official announcement has been made yet. Republican FCC Commissioner Ajit Pai negotiated to remove wording in the final order related to the way the FCC calculates spectrum holdings."

 

Kinda surprised that it was a unanimous vote. Also surprised that the FCC commissioners were still working. I thought the entire government was on a Fourth of July vacation for the week -- not just Congress.

 

http://thehill.com/blogs/hillicon-valley/technology/309237--softbank-wins-fcc-approval-to-buy-sprint

Edited July 3, 2013 by linhpham2

[peteyz24]

A.J. had already posted a link to an article that stated that no divestiture would be required.

 

http://s4gru.com/index.php?/topic/3898-sprintclearwire-acquisition-discussion-formerly-dish-offer-to-acquire-clearwire-for-440-per-share-in-cash/?p=160696

[gatorfans239]

So what happens after Clearwire is purchased by Sprint? Will Clearwire keep it name or will it change to New Sprint? What about the stock?