The law firm of Wohl & Fruchter LLP announces that it has commenced an investigation into the acquisition by Sprint Nextel Corporation (Sprint) of majority voting control of Clearwire Corporation (Clearwire) (NASDAQ: CLWR) through a negotiated purchase from Eagle River Holdings, LLC (ERH).
On October 15, 2012, Softbank Corp. announced its agreement to buy a 70% ownership stake in Sprint. According to news reports, one of the conditions imposed by Softbank’s lenders was that Sprint obtain voting control of Clearwire.
On October 17, 2012, Sprint disclosed that it had agreed to acquire most of ERH’s ownership interest in Clearwire, thereby increasing its voting power from approximately 48% to above 50%. Completion of the purchase is subject to the first offer rights of certain other shareholders under a 2008 equityholders’ agreement.
Wohl & Fruchter’s investigation concerns whether Sprint’s agreement with ERH is consistent with the duties it owes to unaffiliated shareholders of Clearwire, and whether Clearwire’s board of directors has fulfilled its fiduciary obligations in response to Sprint’s announced acquisition of majority voting control.Additional information is available at http://www.wohlfruchter.com/cases/clwr. Persons with relevant information, and Clearwire shareholders with questions about this investigation, are invited to contact our Firm by calling 866.582.8140, or contact the attorney below. About Wohl & Fruchter Wohl & Fruchter LLP represents plaintiffs in litigation arising from fraud and other fiduciary breaches by corporate managers, as well as other complex litigation matters. Please visit our website, www.wohlfruchter.com, to learn more about our Firm, or contact one of our partners. This release may be deemed to constitute attorney advertising.