Crest Financial today vowed to continue its fight for a better deal from Sprint for Clearwire.
Crest has opposed Sprint’s attempt to acquire the 49.5% of Clearwire it does not already own from the start. Last week, Sprint improved its offer from $2.97 per share to $3.40 per share, increasing the total amount by about $500 million.
Despite this increase, Crest believes Sprint is still undervaluing Clearwire’s worth. “Crest encourages Clearwire’s minority stockholders to oppose the merger and to act now to protect their rights to pursue fair treatment through all available avenues, including an appraisal proceeding,” said David K. Schumacher, Crest’s General Counsel, in a letter to Clearwire investors. Crest believes Clearwire stockholders should seek “judicial relief” from Sprint’s attempt to take over the company.
Separately, Clearwire sent its own letter to investors today recommending that they vote in favor of the deal. Sprint’s proposal “is quite simply the best strategic option for all stockholders,” said Clearwire’s board of directors. “Sprint has stated that this represents its best and final offer.” The vote is scheduled for next month.
