by Christopher Freeburn | March 13, 2013 10:33 am
The merger between Deutsche Telekom‘s (PINK:DTEGY) T-Mobile and MetroPCS (NYSE:PCS) has cleared its final regulatory hurdle.
Approval for the deal, which was announced in October, has been granted by the Federal Communications Commission (FCC). The deal unites the nation’s fourth and fifth largest wireless companies. MetroPCS investors will hold a 26% stake in the new entity, which will retain the T-Mobile name. Deutsche Telekom will own the remaining 74% of the company, the Los Angeles Times noted.
An FCC commissioner said the two companies had promised not to shutter U.S.-based call centers, retail stores or shed retail jobs. Earlier this month, reports surfaced that T-Mobile was cutting up to 100 employees at its headquarters near Seattle, Wash.
The combined company will hold still have fewer customers than rivals Verizon (NYSE:VZ), AT&T (NYSE:T) and Sprint (NYSE:S).
In April, MetroPCS shareholders will get to vote on the deal.
Shares of MetroPCS sank almost 1% in Wednesday morning trading.
Source URL: http://investorplace.com/2013/03/metropcs-t-mobile-get-merger-approval-from-fcc/
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