WASHINGTON - The Federal Reserve's monetary stimulus is helping the U.S. economy recover but the central bank needs to see further signs of traction before taking its foot off the gas, Fed Chairman Ben Bernanke said on Wednesday.
LONDON - From ketchup to hot drinks, family-run investment firms are shaking up the consumer deals market, squeezing out private equity players and forcing them to change strategy.
BEIJING/HONG KONG - China reiterated its opposition on Thursday to a European Union plan to limit airline carbon dioxide emissions and called for talks to resolve the issue a day after its major airlines refused to pay any carbon costs under the new law.
Crest Financial files lawsuit against Clearwire, Sprint
(Reuters) - Clearwire Corp (CLWR.O) investor Crest Financial filed a lawsuit against the company and majority stakeholder Sprint Nextel Corp (S.N) in a bid to prevent a potential deal between the wireless providers.
Sprint is in talks with Intel Corp (INTC.O) and Comcast Corp (CMCSA.O) to buy out their stakes in Clearwire, Reuters reported on Tuesday quoting sources. Sprint currently holds 50.45 percent of Clearwire shares.
Crest Financial, which owns a 6.62 percent stake in Clearwire, said in its suit that Clearwire abetted its fiduciary duties by allowing Sprint to "extract the value of Clearwire's high-speed, broadband spectrum to the detriment of Clearwire's minority shareholders." (link.reuters.com/baj64t)
The lawsuit, filed in the Delaware Court of Chancery, requested expedited consideration of the complaint by May 2013.
Both Sprint and Clearwire declined to comment.
Crest Financial said it was seeking injunctive relief against "Sprint's pending merger with Softbank Corp (9984.T) and against Sprint's interference with Clearwire's previously announced plans to raise funds and build out its network".
Crest Financial also intends to petition the Federal Communications Commission (FCC) to deny the Sprint-Softbank merger under its current structure, it said in a statement.
Sprint last month asked the FCC for approval of its agreement to sell 70 percent of the company to Japan's Softbank.
Some minority Clearwire shareholders have publicly expressed concerns over a potential deal with Sprint, suggesting that Clearwire should look at other options.
(Reporting by Sruthi Ramakrishnan and Vishal Krishnan Menon in Bangalore; Editing by Maju Samuel and M.D. Golan)
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