Verizon Communications Inc's chances of buying the 45-percent stake in Verizon Wireless owned by the UK's Vodafone Group Plc will hinge, at least in part, on the quality of tax advice it is getting.
Verizon (New York City, NY, USA), the No. 2 U.S. telecommunications company, may have found a way to structure a purchase of the stake so that Vodafone (Newbury, UK) can avoid a multi-billion dollar U.S. capital gains tax bill, sources familiar with Verizon's plans said. The possibility of a huge tax bill has previously been regarded by analysts as a big hurdle to any such deal.
Aurelius Capital, a big shareholder in U.S. wireless service provider Clearwire Corp, filed a lawsuit against Clearwire directors and Sprint Nextel Corp over Sprint's December agreement to buy out the portion of Clearwire it does not already own.
Aurelius (New York City, NY, USA), which says it owns 17 million Clearwire (Bellevue, WA, USA) shares, said Sprint (Overland Park, KS, USA), as Clearwire's majority shareholder, had dictated "manifestly unfair" terms for its Clearwire deal, in a filing at the Court of Chancery of the State of Delaware on Friday.
MetroPCS shareholders have given their blessing to the proposed merger of the operator with T-Mobile USA, removing the final obstacle to the deal, which is now expected to close by May 1.
According to a statement from T-Mobile USA (Bellevue, WA, USA) owner Deutsche Telekom (Bonn, Germany), a majority of MetroPCS (Richardson, TX, USA) shareholders voted in favor of the merger on Wednesday.
Investment company Crest Financial has once again lashed out at Sprint’s proposed takeover of Clearwire, urging Clearwire’s management to shun the “coercive” terms.
Crest (Cerritos, CA, USA) owns a 5.1% stake in Clearwire (Bellevue, WA, USA) and claims to be the largest shareholder that is unaligned with Sprint.
The company is vehemently opposed to the deal, which would see Sprint (Overland Park, KS, USA) acquire full control of Clearwire, and last month hired proxy-solicitation firm D.F. King & Co. (New York City, NY, USA) to help it fight the planned takeover.
AT&T Inc reported a net loss of cellphone subscribers in the first quarter as it lost market share to bigger rival Verizon Wireless, sending its shares down about 2 percent.
As a result AT&T's revenue missed Wall Street expectations as its subscriber growth was driven by tablet computer users who pay lower monthly fees than phone users.
Banking on the enduring popularity of 2G networks for M2M services, third-placed US mobile operator Sprint says it is extending its partnership with Swiss-based module provider u-blox as it looks to capitalize on rivals’ plans to migrate all traffic to newer 3G and 4G networks over the next few years.
The operator says the u-blox (Thalwil, Switzerland) agreement will allow business customers concerned about the continuing availability of GSM-based 2G networks to extend the product lifetime of their existing 2G M2M devices by migrating to Sprint’s CDMA network.
US M2M-focused MVNO RACO Wireless has announced a deal with Canada’s Rogers Communications that will let customers deploy M2M services in the Canadian market.
The deal to expand the MVNO’s footprint is aimed at customers in a variety of vertical sectors, including fleet management, security, telemedicine and asset management, and includes support for its Omega Management Suite platform.
Sprint Nextel said on Monday that its board had formed a special committee of independent directors to review Dish Network's $25.5 billion takeover bid for the No. 3 U.S. mobile provider.
Sprint (Overland Park, KS, USA) had said last week that it would evaluate the Dish (Meridian, CO, USA) offer, which challenges Sprint's October agreement to sell 70 percent of its shares to Japan's SoftBank Corp (Tokyo, Japan) for $20.1 billion.
Verizon Communications Inc posted a higher-than-expected quarterly profit on the performance of its wireless business, which reined in costs without slowing growth.
Verizon (New York City, NY, USA) also ramped up the pressure on Vodafone Group Plc (Newbury, UK), which owns 45 percent of the Verizon Wireless unit. Verizon has been seeking to buy that stake and take full control of the top U.S. mobile company.
Masayoshi Son, billionaire founder of Japanese mobile carrier SoftBank Corp, is expected to stay in the battle for U.S. wireless service provider Sprint Nextel Corp, even though he could profit handsomely by walking away.
While the intentions of Charlie Ergen, the chairman of Dish Network Corp (Meridian, CO, USA), should be clear - after a bold $25.5 billion counterbid for Sprint (Overland Park, KS, USA) - not everyone is convinced the deal will go through.