Mc Caw Is Getting A Lot More Than A Chunk Of Nextel

What a bargain. On Apr. 5, wireless-phone magnate Craig O. McCaw agreed to pay $12.25 a share for 9.4% of Nextel Communications Inc. That's not only a fraction of the $54 Nextel stock fetched in October, 1993; it's even below the $13.25 at which Nextel closed the day before the deal. If he likes the company, McCaw can exercise options to acquire up to 44 million more shares at prices that top out at $21.50 in six years. Says Steven R. Yanis, senior telecom analyst at Oppenheimer & Co.: "The company just has to be mildly successful and he makes a fortune."

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