14 DAY TRIAL // Wireless operator Sprint announced on Friday, December 4, that it had managed to successfully complete the process of acquiring iPCS, Inc. The transaction had been announced back in October 2009, and Sprint agreed under the terms of the deal to pay approximately $831 million for iPCS, a sum that also included the assumption of $405 million of net debt.
Those of you who might have followed the news on this matter should know that Sprint received not too long ago all the necessary approvals for the acquisition of iPCS. At the same time, you should also be aware of the fact that the company has acquired “all of iPCS’s outstanding common shares for $24.00 per share in an all-cash transaction.”
Sprint commented the following on the closing of the deal: “As a result of the completion of the merger, iPCS is now a wholly-owned subsidiary of Sprint Nextel. iPCS shares will cease trading on NASDAQ as of the closing of the market today and will be delisted. The completion of this acquisition also allows Sprint Nextel and iPCS to resolve all the litigation pending between them.”
The wireless carrier also announced that a number of more than 700,000 former iPCS wireless customers would now enjoy services directly from Sprint Nextel. Moreover, the acquisition also offered Sprint the possibility to expand its coverage to new areas, and now it can offer network connectivity to 12.6 million people more.
“Since iPCS’s services were sold under the Sprint brand name and in Sprint-branded stores, iPCS customers should not experience any change in their service as a result of this transaction,” the carrier added. Sprint accounted for a number of over 48 million customers at the end of the third quarter of the ongoing year. At the same time, the company is the first one in the US to offer 4G connectivity to users in a number of 27 markets in the country.