Printed from http://www.electronista.com

MetroPCS shareholders approve merger with T-Mobile USA

updated 11:05 am EDT, Wed April 24, 2013

Shareholder vote succeeds after Deutsche Telekom sweetens deal

Shareholders of MetroPCS have reportedly approved the merger of the carrier with the fourth-largest mobile phone network, the Deutsche Telekom-owned T-Mobile USA. A shareholder vote for the proposal is the last hurdle for the merger to take place, after both the FCC and Department of Justice gave their approval last month with no negative commentary.

Reports from Bloomberg and the Reuters news agency confirm the vote results, which provides Deutsche Telekom a 74-percent stake in the merged company and a $1.5 billion payment to MetroPCS shareholders, after the original proposal received some changes in order to win over its critics, including largest MetroPCS shareholder Paulson & Co.

The revised deal saw Deutsche Telekom lower the amount of debt owed by the new, merged company from $15 billion to $11.2 billion, as well as lowering the interest rate of the loan by half a percent. The lock-up period, the time that Deutsche Telekom cannot publicly sell shares from the company, has been extended from six months to 18 months.

The merger will provide T-Mobile the spectrum and the means to expand its new LTE network across the United States, in order to compete with Verizon and AT&T, as well as bringing over 9 million MetroPCS customers to the T-Mobile GSM network.



By Electronista Staff
toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Kenu Airframe +

Simple, stylish and effective, the Kenu Aiframe + portable car mount is the latest addition to Kenu's lineup. Released earlier this ye ...

Adesso Compagno X Bluetooth keyboard

The shift from typing on physical keyboards to digital versions on smartphones and tablets hasn't been an easy for many consumers. Fro ...

Polk Audio 4 Shot headset

Sound quality and design are two of the biggest areas of focus for manufacturers when coming up with a new gaming headset. Depending o ...

Sponsor

toggle

Most Commented

 
toggle

Popular News