If Sprint really wants to buy Clearwire, why did it low-ball its offer, and why is Softbank reportedly choking off Sprint's bargaining power? Analyst Tim Farrar thinks there is more to this deal, and many other related ones, than meet the eye.
[The] big revelation that Sprint was seeking to buy out Clearwire sent shockwaves throughout the industry. Taking over Clearwire would return a vast trove of airwaves to Sprint's direct control, which would leave its sitting pretty on top of the U.S. spectrum heap. But it didn't take long before the grumbling started.Investors aren't very happy with Sprint's low-ball offer. And now Reuters is reporting that Sprint's would-be owner Softbank won't go along with any acquisition that valued Clearwire at more than $2.97 a share, which is just seven cents more than what Sprint has offered. If Reuters' sources are correct then Softbank doesn't see the value in Clearwire that everyone else seems to see.
formatting link