The Televisa-led group, which included Bill Gates's private equity firm, Cascade Investments, and Bain Capital, was stunned to learn that it was not given a chance to raise its offer, people involved in the group said.

Much of his non-Microsoft investments are managed by Cascade Investment, LLC, a private equity firm.

The shares would have cost Cascade Investment, Mr. Gates's company, $24.8 million at Nextel Partner's closing price last Friday of $6.60, but actual terms were not disclosed.

The private investment firm of Bill Gates, Cascade Investment, paid $84 million in April for preferred convertible shares of Pacific Ethanol, a publicly traded ethanol producer.

The offer came from the chain's founder, Isadore Sharp; a holding company of Prince Walid bin Talal of Saudi Arabia; and Cascade Investment, the investment firm of Bill Gates.

Billionaire Bill Gates, the chairman of Microsoft, purchased a large share in an ethanol producing company (Pacific Ethanol) in 2006 through his investment company, Cascade Investments.

Cascade Investment, Mr. Gates's private investment firm, has declared its intention to buy $84 million in newly issued preferred convertible securities in Pacific Ethanol, according to William Langley, its chief financial officer.

Legal Letter from Mark R. Beatty (General Counsel of Cascade Investment, L.L.C.)

Michael Larson is the Chief Investment Officer of Cascade Investment, which is the investment vehicle for the Bill & Melinda Gates Foundation and the Gates personal fortune.

This explains why in April, Cascade Investment, Mr. Gates's investment vehicle, spent $84 million to become the biggest investor in Pacific Ethanol, the magazine writes.