USA: Verizon will take over Alltel for $28 billion
If you're new here, you may want to subscribe to our RSS feed. Thanks for visiting!
The concentration in telecommunications in the U.S. is still not completed.
On both sides of the Atlantic, is the return of major maneuvers in telecoms. While France Telecom is about to submit an offer valuing the TeliaSonera to 27 billion euros, it was learned on Thursday that the U.S. Verizon Wireless has reached an agreement to buy Alltel. Amount of operation: 28.1 billion dollars in cash!
The acquisition would make Verizon Wireless, which is owned 55% by the U.S. operator Verizon and 45% by the British Vodafone, the first U.S. operator of mobile telephony in number of subscribers, ahead of current leader AT & T. They are followed closely by Sprint-Nextel and T-Mobile USA.
The purchase price consists of a payment of 5.9 billion dollars to buy back the shares Alltel and a resumption of debt of the acquired company for 22.1 billion dollars.
Verizon Wireless said it hoped to achieve synergies of more than 9 billion, with savings of 1 billion from the second year after the merger.
The concentration of U.S. telecom continues to forced march. Alltel, the 5th operator in the country had fallen under the thumb of funds Texas Pacific Group and the investment bank Goldman Sachs in May 2007 for 27.5 billion dollars. The two former owners therefore lose 600 million dollars in this adventure.
Alltel is an operator who displays one of the best coverage of the country. If it is fifth nationally, the group posted first place in rural areas. It has 13 million subscribers.
Last July, is AT & T s’emparait of Dobson Communications for $ 2.8 billion in cash. Dobson serves mostly rural areas of USA.
Browse Timeline
Comments ( 1 Comment )
keith added these pithy words on Jul 11 08 at 11:49 amI am a loyal Alltel customer,as far as i am concerned,if Verizon changes anything having to do with Alltel plans and the coverage,not to mention my circle.Without grandfathering Alltel customers FOR LIFE,i will happily return ALL of my families phones and cancel ALL of our contracts.This will be my satisfaction to the worst and detramental thing to happen to loyal Alltel customers.I am now and have been a customer of Alltel for the past 7 years,i chose Alltel because of the excellent service,coverage nationwide,my circle,without paying an arm a leg and head for,which is what will happen when Junkrizon takes over.