Thursday, December 2, 2010

Clearwire Plans To Raise $1.1 Billion

Kirkland-based 4G wireless infrastructure firm Clearwire said today that it plans to raise over $1.1 billion, via an offering of debt securities in private placements. Clearwire said the offerings include $175M in first priority, senior secured notes due in 2015; $500.0M in second priority secured notes due in 2017; and $500M in exchangeable notes due in 2040. The firm said the proceeds of the offerings will go towards working capital and general corporate purposes. The firm did not say who it expects will buy the securities, only that they will be offered to "qualified institutional buyers." Clearwire said last month that it was looking to find new funding, and had frozen market expansion and cut 15 percent of its staff, as it struggled to gain additional capital from its backers.