Uncategorized | 25 November 2009

Clearwire Raises $2.8 Billion for WiMax Launch

SprintNextel-Clearwire-LogoClearwire announced recently that it has raised $2.8 billion dollars for a national launch of WiMax services. The company had previously announced that it to stakeholders that it had initially raised$1.85 billion in a bond offering to pay off debt of $1.4 billion. It also raised an additional $920 million in debt, bringing the company to its $2.8 billion total.

“Today, we are proud to have secured an additional $920 million in debt financing, which, when coupled with the $1.56 billion of recently announced equity financing and the $1.85 billion of debt financing that we closed on today, demonstrates our ability to access the capital markets on attractive terms and in sufficient size to meet our needs, while at the same time prudently balancing equity dilution with the cost of capital,” said Bill Morrow, CEO of Clearwire.

Sprint, Comcast, Intel, Time Warner, Brighthouse Networks, and others agreed to provide capital for the venture. The funds will be used to launch it networks in an additional markets, hoping to reach 120 million more people by the end of 2010. Through Time Warner, and it’s other providers, Clearwire is looking to establish networks in Hawaii, San Antonio and Austin, Texas.

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Michael Licata

Michael works as a Content Manager for Quantum Networks and GoingMedia.net. He graduated in May with a degree in journalism/mass communications from St. Bonaventure University. He enjoys writing, learning and playing most sports.

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