By Ben Fox Rubin
Crest Financial Ltd. protested the Clearwire Corp. (CLWR)
board's decision to delay a shareholder vote on a proposed merger
with Sprint Nextel Corp. (S), calling the move a "naked attempt to
interfere with the stockholder franchise."
Crest, a Clearwire stockholder, has been waging a proxy fight
against Sprint's attempt to buy Clearwire. Sprint already owns
about 50% of the broadband provider, but needs a majority of the
minority holders to approve the tie-up for it to move forward.
Dish Network Corp. (DISH) has made competing bids for both
Clearwire and Sprint while both have pursued other suitors, and
Dish most recently came out with a raised bid for Clearwire less
than 48 hours before a scheduled shareholder vote on the Sprint
deal.
Clearwire confirmed late Thursday that it would postpone the
meeting until June 13, giving it time to review the new Dish
offer.
Dish's latest bid for Clearwire was for $4.40 a share, well
above Sprint's already improved offer of $3.40.
"The Clearwire board is reacting to Dish's tender offer in its
usual stockholder unfriendly way by adjourning the special meeting
to June 13," said Crest General Counsel David K. Schumacher. "That
means that the ill-advised and unfair merger agreement with Sprint
remains in effect until then. Clearwire now has a clearly
actionable offer from Dish that is superior in every way to
Sprint's offer."
Mr. Schumacher added that Dish's offer confirms that Clearwire's
"true value" can only be realized through a competitive bidding
process.
Crest has repeatedly protested the Sprint deal as undervaluing
Clearwire and sued to block the Sprint deal.
A Sprint representative wasn't immediately available for
comment.
Clearwire's shares were down four cents at $4.46. The stock is
up 54% so far this year.
Write to Ben Fox Rubin at ben.rubin@dowjones.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires