By Ben Fox Rubin
Clearwire Corp. (CLWR) said its special committee reversed its
recommendation backing Dish Network Corp.'s (DISH) tender offer for
the company, unanimously backing a raised offer from Sprint Nextel
Corp. (S) worth $5 a share.
Sprint, which is Clearwire's majority owner, had previously
raised its bid for Clearwire in May to $3.40 a share. A day before
Clearwire's shareholders were to vote on that deal, Dish raised its
own offer to $4.40 a share.
Clearwire had recommended shareholders accept the Dish offer,
though Sprint sued Dish soon after, claiming Dish's tender offer
violates corporate law in the state of Delaware, where Clearwire is
incorporated.
A Dish spokesman didn't have any immediate comment.
Clearwire shares were halted at $4.78.
Write to Ben Fox Rubin at ben.rubin@dowjones.com
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