UPDATE 1-iPCS withdraws Sprint-Clearwire injunction request
(Adds comment from iPCS)
NEW YORK Nov 17 (Reuters) - iPCS Inc IPCS.O said on Monday it withdrew its request for a temporary injunction against the proposed joint venture of Sprint Nextel Corp (S.N) and Clearwire Corp (CLWR.O) after an agreement with the companies.
iPCS, which has the exclusive right to use the Sprint brand in its operating regions, said it withdrew the request after Sprint and Clearwire promised to give it two months notice before the venture launched services in its markets.
But a trial reviewing whether the venture, to be known as Clearwire, could operate in iPCS regions will still go ahead in Illinois courts, starting December, according to iPCS.
"The stipulation does give some protection to the company in the short term," said a spokesperson for iPCS.
It had asked for the injunction on Nov. 3 ahead of a Clearwire shareholder vote scheduled for Nov. 20. Some analysts see a Sprint purchase of iPCS as the eventual outcome in the companies' longstanding legal battles.
Shares in iPCS were down 33 cents, or 4 percent, at $7.09 in late-afternoon trade on Nasdaq. Sprint stock fell 16 cents, or 7 percent, to $2.14 on New York Stock Exchange. (Reporting by Sinead Carew; editing by Jeffrey Benkoe)
- Tweet this
- Share this
- Digg this