What happened

Shares of Straight Path Communications Inc. (NYSEMKT: STRP) were up 33% as of 12:00 p.m. EDT Monday following another increased acquisition bid for the wireless spectrum specialist.

So what

Keep in mind Straight Path stock most recently popped more than 22% last Wednesday after receiving a revised acquisition bid from an unnamed "multi-national telecommunications company" (presumed to be Verizon (NYSE:VZ)) for $135.96 per share, or an enterprise value of $2.3 billion. Straight Path's board also noted the offer had been increased from the bidder's $104.64-per-share proposal in late April, and unsurprisingly deemed it a "superior proposal" to the $95.63-per-share, $1.6 billion deal it struck with AT&T (NYSE:T) early last month.

But today Straight Path announced another revised offer from the same unnamed suitor for $184 per share, reflecting an enterprise value of roughly $3.1 billion. 

Wireless cityscape concept image

Straight Path's spectrum assets are expected to play a key role enabling 5G networks. Image source: Getty Images.

Now what

The timing of this revised offer is no coincidence; AT&T previously had until midnight tonight to respond to last week's proposal with their own superior bid. As it stands, the unnamed buyer's latest bid is good through 11:59 p.m. this Wednesday, May 10, 2017. And as a reminder, Straight Path will owe AT&T a $38 million termination fee if it opts to go with the new bidder -- a pittance given the massive premium the newest proposal represents over AT&T's original offer.

With Straight Path stock now trading at around $212 per share as of this writing, the market obviously suspects that this bidding war isn't over yet. But given Straight Path's spectacular rise over the past month, I wouldn't blame remaining Straight Path shareholders for taking their profits off the table and putting them to work elsewhere.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.