Sprint Is No Longer A Clearwire Majority Owner
This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry
Sprint Nextel Corporation announced today that they are no longer a majority stake owner in Clearwire Corporation. Last year Sprint was the biggest shareholder in Clearwire and they reduced their voting shares in the company to below 50% in order to avoid a risk of a default trigger on their own debt since Clearwire was facing a possible loan default. Because of the recent equity that Clearwire issued, Sprint’s economic interest dropped to below 50%. “Now that our economic interest has fallen below 50 percent, we are reclaiming our full voting rights so that our voting rights and economic rights are once again aligned,” said Sprint spokesman Scott Sloat.