From the Wires
Block & Leviton LLP Investigates Clearwire Corporation for Possible Breaches of Fiduciary Duty in Connection with Its Potential Acquisition by Sprint Nextel Corporation
By: PR Newswire
Dec. 12, 2012 12:12 PM
BOSTON, Dec. 12, 2012 /PRNewswire/ -- Block & Leviton LLP (www.blockesq.com), a Boston-based law firm representing investors nationwide, has commenced an investigation into possible breaches of fiduciary duty by the Board of Directors of Clearwire Corporation ("Clearwire" or the "Company") (NASDAQ: CLWR) concerning the discussed acquisition of the Company by Sprint Nextel Corporation ("Sprint") (NYSE: S). Sprint already owns approximately 51% of Clearwire and has the right to appoint a majority of Clearwire's Board of Directors.
News reports have estimated that the deal would be valued at approximately $3.00 for each Clearwire share owned. A transaction price of $3.00 per share represents a paltry 25% premium over the Company's share price prior to the most recent news reports. Moreover, Clearwire appears to be poised for growth and its stock price has already risen 38% this year. Indeed, as recently as October 15, 2012, the Company's stock price hit a high of $2.96 per share, which would be a premium of approximately 1 percent. Moreover, the mean consensus amongst analysts is that the Company's stock price will "outperform" current estimates.
Block & Leviton's investigation seeks to determine, among other things, whether Clearwire's Directors breached their fiduciary duties by failing to maximize shareholder value in the potential acquisition by Sprint and the overall fairness of the process by which the Company's Directors are considering the transaction.
If you are a Clearwire shareholder and have questions about your legal rights, or if you have information relevant to this investigation, please contact attorney Steven P. Harte, at
Block & Leviton is a Boston-based law firm representing investors nationwide for violations of securities laws. The firm's lawyers have collectively been prosecuting securities cases on behalf of investors for over 50 years. This notice may constitute attorney advertising.
SOURCE Block & Leviton LLP
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