MetroPCS, T-Mobile Merger Awaits Shareholder Vote
A pending merger of MetroPCS Communications (NYSE:PCS) and T-Mobile now awaits a shareholder vote next month, as the wireless carriers said on Thursday they have received all regulatory approvals.
The U.S. Committee on Foreign Investment concluded its review of the deal after determining there are no unresolved national-security issues.
T-Mobile’s parent company is German telecommunications company Deutsche Telekom. The merger, which received approval from U.S. regulators last week, would create a publicly traded company. Deutsche Telekom would hold a 74% stake.
The final hurdle is MetroPCS shareholder approval. Shareholders will vote on the deal at an April 12 meeting. If they vote in favor, the merger is expected to close shortly after the meeting, the companies said Thursday.
Also on Thursday, P. Schoenfeld Asset Management, a MetroPCS shareholder that has been critical of the deal, released 14 “critical questions” related to the proposed deal. It is seeking answers before next month’s meeting.
P. Schoenfeld Asset Management and hedge fund Paulson & Co. have argued that the new company will have too much debt and will be unable to compete with rival carriers.
Shares of MetroPCS were trading down five cents to $10.52 midday Thursday.