Clearwire underwriters buy another $52.5M stock
BELLEVUE, Wash.—Cellular network operator Clearwire Corp. said Monday that the underwriters of a recent stock offering have exercised their option to buy another $52.5 million worth of Class A shares.
The option brings the total number of shares Clearwire is selling in the $350 million offering to about 201.3 million. It's the latest the latest step in a rescue plan that should help the struggling company stay afloat.
Earlier this month, Sprint Nextel Corp. -- Clearwire's largest investor -- has agreed to buy a matching amount of Class B shares in connection with the offering. Sprint has the right to match any new investment to maintain its 49.6 percent voting stake in the company.
Clearwire plans to use the proceeds for general corporate purposes and working capital.
Shares of Clearwire fell 5 cents, or 2.6 percent, to $2.09 in premarket trading Monday. Sprint's shares slipped 4 cents to $2.43.