Clearwire Raises $920M to Build Out 4G Network

Shares of Clearwire Corp. (CLWR) were trading higher on Wednesday after the WiMAX provider said it has raised $920 million in more debt to fund its 4G network buildout.

The company’s stocks hit $5.64 by about noon Eastern, a rise of nearly 4 percent.

Clearwire already had landed $1.85 billion of senior secured notes, due 2015, to help it pay off $1.4 billion in debt. Over the past few weeks, the Washington State-based corporation has raised almost $2.8 billion in debt and equity, helped in part by investors including Comcast Corp., Sprint Nextel and Time Warner Cable.

“With this latest tranche of additional funding, we have not only exceeded the amount of capital that we have previously stated we needed to fully fund our business plan, but we have also secured additional capital that will allow us to expand more aggressively by covering more people, and with more capacity than we had previously planned,” Bill Morrow, Clearwire’s CEO, said in a prepared statement.

The latest round of debt also comes due in 2015.

Clearwire faces stiff competition in the 4G wars. Verizon Communications Inc. is deploying a gargantuan LTE network while smaller rivals including T-Mobile are matching Clearwire’s download speeds even though they still operate on 3G networks.

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