AT&T to acquire Leap Wireless and Cricket subsidiary for $1.19 billion
Just because AT&T and T-Mobile fell out of love before their big wedding day doesn’t mean AT&T isn’t ready to get out there and start dating again. In fact, they wasted no time in finding another potential suitor. Today, AT&T announced their proposal to acquire Cricket (Leap Wireless) for $1.19 billion ($15 a share).
If that sounds like a lot of dough, keep in mind Leap Wireless currently holds about 5 million customers via Cricket, a pre-paid wireless provider already covering 21 million people in 4G LTE. So, what does AT&T have planned? First off, the Cricket brand isn’t going away. AT&T will continue to expand the pre-paid provider into new markets, giving Cricket customers access to AT&T’s blazing fast 4G LTE network, while helping AT&T rollout more bars in more places, especially in densely populated areas.
As always, the deal will still need an approval from not only Leap’s shareholders, but the FCC and DOJ, where AT&T is sure to get grilled. AT&T expects the deal to complete within 6-9 months providing they don’t face any opposition. You know, like last time.
[AT&T]