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Movement to stop T-Mobile-MetroPCS grows stronger

There’s growing investor resistance to the proposed merger of wireless companies T-Mobile and MetroPCS.

According to Bloomberg News, two shareholder advisory firms came out in opposition to the deal. Last week Institutional Shareholder Services and Glass, Lewis & Co. came out against the deal, said Bloomberg. And today MetroPCS investor P. Schoenfeld Asset Management LP is holding a webcast to explain its position to shareholders.

These moves, according to analysts, mean that at the very least T-Mobile parent Deutsche Telekom has to offer more money for MetroPCS. Bloomberg quoted New Street Research analyst Jonathan Chaplin, who said, “DT has to sweeten. DT would be crazy to let it go to a vote. There’s no way they will win. They don’t have enough votes to get a deal done.”

T-Mobile’s MetroPCS Merger Opponents Gaining Traction (Bloomberg, Apr. 1, 2013)

CWA, community groups ask FCC to weigh jobs in T-Mobile merger (Speed Matters, Dec. 17, 2012)