Sprint seals $2.2bn Clearwire deal Sprint Nextel has agreed to fully take control of Clearwire with a $2.2bn offer for the remaining 49 per cent stake in the US telecoms business. Sprint on Monday said that it had raised its offer to $2.97 a share, from an initial bid of $2.90 a share, which took the deal to a value of $2.2bn. The deal has been approved by the Clearwire board as well as Japan's SoftBank, which in October agreed to buy 70 per cent of Sprint for about $20bn. The deal will bolster the smallest telecoms groups in the market and enable them to more effectively compete with Verizon Wireless, AT&T and T-Mobile, in particular by bringing together crucial spectrum resources to carry next generation mobile phone services. Clearwire has received commitments from Comcast, Intel Corp and Bright House Networks, who collectively own 13 per cent of its voting shares, to vote in favour of the transaction. More traditional institutional shareholders include Highbridge Capital Management and Mount Kellet Capital. The transaction puts Clearwire's total enterprise value at $10bn, including net debt and spectrum lease obligations of $5.5bn. Shares in Clearwire rose more than 40 per cent last week as news of the deal leaked. Sprint helped form the company in 2008 as a joint venture with partners such as Google, Intel, Comcast and Time Warner Cable. Sprint said that the transaction provided Clearwire shareholders with "attractive value," adding that it would be "uniquely positioned" to use Clearwire's 2.5 GHz spectrum assets. Dan Hesse, Sprint chief executive, said: "Today's transaction marks yet another significant step in Sprint's improved competitive position and ability to offer customers better products, more choices and better services." Clearwire and Sprint have entered into agreements that provide up to $800m of additional financing for Clearwire in the form of notes which will be exchangeable under certain conditions for Clearwire common stock at $1.50 per share. Erik Prusch, Clearwire chief executive, said: "Our board of directors has been reviewing available strategic alternatives over the course of the last two years. In evaluating available alternatives, a special committee conducted a careful and rigorous process, and based on the committee's recommendation, our board unanimously determined that this transaction, which delivers certain and attractive value for our shareholders, is the best path forward.