Month: June 2013

A top adviser to mutual funds and other large investors says Sprint shareholders should give the thumbs-up to SoftBank’s offer to buy the company, but it doesn’t address a rival, preliminary — and higher — offer from Dish Network. In a report, proxy firm Institutional Shareholder Services said, according to The Wall Street Journal, that SoftBank’s $20.1 billion offer “addresses Sprint’s most compelling need: capital to acquire additional spectrum and complete the transformation of its network, enabling it to fully compete in the U.S. market.” The compelling need for capital aside, ISS said SoftBank could make “an excellent strategic partner” for Sprint, given the Japan-based company’s deep experience with wireless, “as demonstrated in its postacquisition track record with Vodafone Japan.” Regarding a potential competing offer of $25.5 billion from Dish, ISS was mum, saying that because “Dish has not yet made its offer directly through a tender — ISS has not developed a view, from a valuation perspective, on whether the Dish offer is superior to the SoftBank transaction for Sprint shareholders.” As noted by the Journal, major Sprint shareholders Paulson & Co, Omega Advisers, and others have expressed interest in the Dish proposal, and proxy adviser Egan-Jones has said Sprint shareholders should nix the current SoftBank offer with an eye toward a better one from SoftBank, or toward Dish’s proposal.