T-Mobile, MetroPCS sign definitive USD1.5bn merger agreement

Deutsche Telekom (DT) and Texas-based MetroPCS Communications have announced that they have signed a definitive agreement to combine T-Mobile USA and MetroPCS under the T-Mobile name. DT’s supervisory board and MetroPCS’ board of directors unanimously approved the transaction, which will be structured as a recapitalisation, in which MetroPCS will declare a one for two reverse stock split, make a cash payment of USD1.5 billion to its shareholders, and acquire all of T-Mobile’s capital stock by issuing to DT 74% of MetroPCS’ common stock on a pro forma basis. *The transaction, which is subject to MetroPCS’ shareholder approval, regulatory approvals and other customary closing conditions, is expected to close in 1H13

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OVETEL T-Mobile, MetroPCS sign definitive USD1.5bn merger agreement