Dallas, Texas 07/29/2013 (Financialstrend) – Following the three way merger involving Sprint Nextel Corporation (NYSE:S), Softbank Corp and Clearwire Corporation, Sprint removed Nextel from its name which shows the Nextel shutdown in the merger deal, Sprint Nextel Corporation which is the third biggest wireless carrier in the United States facing difficult times such as huge debt by the acquisition of Nextel which was a complete failure. Earlier sprint conducted elections regarding sprint shareholders preference to receive cash or stock to the form of merger consideration where 53 percent of outstanding shareholders of sprint voted to receive cash and it also got approval from federal communications commission (FCC) for Japan’s Softbank acquisition.
The shareholders will receive $16.6 billion in cash as per the merger deal, as Softbank had to revise the deal to enhance shareholder’s cash component its balance sheet would grow $5 billion as a replacement of $8 billion. The Japanese carrier Softbank had raised its bid for Sprint Nextel Corporation (NYSE:S) to beats competing proposal in the battle with satellite TV provider DISH Network Corp (NASDAQ:DISH) which also competed to acquire Sprint and made a offer of $25.5 billion . Thus Sprint Nextel Corporation (NYSE:S) is now under the control of SoftBank which owns 78% stake.
The share of Sprint Nextel Corporation (NYSE:S) was bearish by 1.37% on Friday to close down for the day with $5.74 per share. The company had recorded the trading day low price of $5.73 and high price of $5.85 on Friday. For the last twelve months of trading, the low price of the stock is at $5.15 and high price of the stock is at $7.14 per share. Currently there are 3.02 billion shares of the company outstanding in the market and 89% institutional ownership. The trading volume of the company on Friday was 18.12 million shares and the trading volume over the past 30 days of the company was 48.32 million shares per day. The total market value of the company is 17.32 billion.