SAN DIEGO and BELLEVUE, Wash., Dec. 19, 2012 /PRNewswire/ -- Shareholder rights attorneys at Robbins Umeda LLP are investigating possible breaches of fiduciary duty and other violations of the law by members of the board of directors of Clearwire Corporation (NASDAQ: CLWR) in connection with their efforts to sell the company to Sprint Nextel Corp. (NYSE: S).
On December 17, 2012, Clearwire and Sprint announced they had entered into a definitive merger agreement under which Sprint will acquire Clearwire through an all cash tender offer that values the company at $2.2 billion. Clearwire shareholders will receive $2.97 per share. The deal is expected to close in the middle of 2013.
The Board of Directors' Actions May Prevent Clearwire Shareholders from Receiving the Maximum Value for Their Stock
Robbins Umeda LLP's investigation focuses on whether the board of directors at Clearwire is undertaking a fair process to obtain maximum value and adequately compensate its shareholders. Sprint currently owns approximately 50% of Clearwire stock. The $2.97 per share offer price is substantially below the $3.50 target price set by an analyst from Macquarie Capital and below the $3.00 share price set by an analyst at Guggenheim Securities on April 18, 2012. Also, on October 25, 2012, Clearwire reported its third quarter 2012 results showing a 10% rise in total subscribers, from 9.5 million to 10.5 million. Given these facts, the firm is examining whether the board of directors' decision to sell Clearwire for $2.97 per share is fair to shareholders and maximizes the value for their shares.
Clearwire shareholders have the option to file a class action lawsuit against the company to secure the best possible price for shareholders and the disclosure of material information so shareholders can vote on the transaction in an informed manner. Clearwire shareholders interested in information about their rights and potential remedies can contact Darnell R. Donahue at (800) 350-6003, firstname.lastname@example.org, or via the shareholder information form on the firm's website.
Robbins Umeda LLP is a nationally recognized leader in securities litigation and shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested. For more information, please go to http://www.robbinsumeda.com.
Press release link: http://www.robbinsumeda.com/shareholders-rights-blog/clearwire
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Robbins Umeda LLP
Darnell R. Donahue
(619) 525-3990 or Toll Free (800) 350-6003
SOURCE Robbins Umeda LLP