Deutsche Telekom AG (DTEGY.PK) announced that the stockholders of MetroPCS Communications Inc. (PCS: Quote) have approved a merger agreement between T-Mobile USA and MetroPCS.
Deutsche Telekom stated that, with today's approval by MetroPCS' stockholders, all the requisite approvals required to complete the proposed combination have been received and the transaction is expected to close by May 1, 2013.
In line with the closing, the consolidation of the new company into the Deutsche Telekom Group will be effective as of May 1, 2013.
As part of the transaction, MetroPCS shareholders will receive an advanced cash payment of about US$1.5 billion from their company. This will be followed by a reverse stock split of the MetroPCS shares before the company is merged with T-Mobile USA.
Upon the closing of the transaction, the shareholders of (the former) MetroPCS will receive 26 percent of the shares of the new company, while Deutsche Telekom will hold 74 percent of the merged company. The company will trade under the legal name T-Mobile US and will be listed on the New York Stock Exchange under the symbol TMUS.
It was in last October that T-Mobile USA and MetroPCS agreed to combine, retaining the T-Mobile name.
by RTT Staff Writer
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