Softbank Raises Sprint Nextel Bid

Competing bidder Dish also trying to buy Clearwire Corp.

Softbank has raised its offer for Sprint Nextel to $21.6 billion, under growing pressure from rival Dish Network.

The Japanese tech company's revised offer has won the support of hedge fund Pearson & Co., Sprint's second-biggest shareholder. A vote on the proposed sale has been rescheduled from Wednesday to Tuesday, June 25.

Sprint has reportedly ended discussions with Dish Network, which submitted a $25.5 billion alternate bid in mid-April. According to The Hollywood Reporter, Sprint said Dish failed to present an "actionable offer" but has given the company until June 18 to present its "best and final offer."

Complicating matters further, Dish has offered to buy Clearwire Corp., an Internet service provider in which Sprint has a 55 percent stake. 

Under the new deal, Softbank will take a 78 percent stake in Sprint, up from 70 percent in its previous bid and increasing its contribution to Sprint shareholders by another $4.5 billion, to $16.6. billion. This, in turn, will divert money from Sprint's efforts to continue its LTE expansion and investment in Clearwire's LTE Network.