Sprint has walked away from an acquisition of MetroPCS in the 11th hour, say sources speaking with Bloomberg.
The deal would have valued MetroPCS at $8 billion, but the final deal was rejected by Sprint's board of directors at the last minute. The company currently trades with a value of about $5 billion, so Sprint's offer would have been with a significant premium.
MetroPCS has 9.3 million subscribers and significant spectrum and certainly would have helped Sprint compete better with major CDMA player Verizon.
Sprint looked into purchasing T-Mobile USA last year, but the price was too high. AT&T eventually bid $39 billion for the company but was rejected by the FCC and US Department of Justice over anti-trust concerns.
Another potential option, says the report, is MetroPCS' rival Leap Wireless.
MetroPCS has 9.3 million subscribers and significant spectrum and certainly would have helped Sprint compete better with major CDMA player Verizon.
Sprint looked into purchasing T-Mobile USA last year, but the price was too high. AT&T eventually bid $39 billion for the company but was rejected by the FCC and US Department of Justice over anti-trust concerns.
Another potential option, says the report, is MetroPCS' rival Leap Wireless.
