Following its deal with Sprint in December and subsequent raising of capital, clwr is out in the market again - this time looking to sell $300M in debt. And as a part of doing so, the company has pre-announced some unaudited Q4 numbers for us to look at.
Revenues of $362M were a bit above expectations, as net wholesale subscribers jumped by another 900K and wholesale revenues jumped 20% above third quarter levels. They finish 2012 with 9.1M wholesale and 1.3M retail subscribers. But the key number Clearwire reported today was not a number, but rather its sign. Adjusted EBITDA for Q4 was 'positive', which is a major milestone for Clearwire's cost-cutting drive and a big improvement from the third quarter's $-46.4M.
The additional $300M or so in debt financing will, if successful, be added to the $716M in net new capital the company raised back in December, giving them about $1B to make the transition to LTE in 2012. Both Clearwire and Sprint Nextel (NYSE:S, news, filings) plan to be busy this year with LTE, likely working in a complementary way to get there as quickly as possible so as to not let Verizon and AT&T run away with the 4G market.
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