Sprint affiliates Horizon, iPCS announce $325 million merger

Sprint affiliates Horizon, iPCS announce $325 million merger

NEW YORK - Two wireless affiliates of Sprint Corp., iPCS Inc. and Horizon PCS Inc., announced a roughly $325 million merger Thursday.

The deal will create the second-largest Sprint wireless affiliate measured by coverage area and third largest measured by subscribers.

After the deal closes, iPCS stockholders will own approximately 57.5 percent of the combined company and Horizon PCS stockholders will own approximately 42.5 percent.

Horizon PCS shareholders will receive 0.7725 iPCS shares for each share of Horizon PCS common stock. In total, Horizon shareholders will receive iPCS shares worth $225 million, and iPCS will assume $100 million of Horizon debt.

The combined company will be based in Schaumburg, Ill.

Sprint, the country's third-largest wireless carrier, serves millions of customers through agreements with affiliates - separate companies that own their own networks but use the Sprint brand name.

Sprint, which announced a $35 billion deal to merge with Nextel Communications Inc. in December, serves a total of 24.8 million wireless customers, including subscribers served through its affiliates and wholesale deals.

The merger of two Sprint affiliates is the latest in a flurry of wireless deals over the past 13 months, which also include Cingular Wireless, a joint venture of SBC Communications Inc. and BellSouth Corp., buying AT&T Wireless Services Inc. and Alltel Corp. announcing a deal to buy Western Wireless Corp.

More deals involving smaller, regional carriers like Horizon and iPCS are expected to follow.

Sprint affiliates Horizon, iPCS announce $325 million merger

 

RCRNews posted a longer article on this merger with some more information. Anybody that is interested in this merger should read it.

iPCS, Horizon propose second merger among Sprint PCS affiliates

 

IPCS Markets:
Illinois - Champaign, Moline, Normal/Bloomington, Peoria, Springfield
Iowa - Cedar Rapids, Coralville, Davenport
Michigan - Grand Rapids, Muskegon, Saginaw, Traverse City, Holland


Horizon PCS Markets:
Ohio – Chillicothe, Athens, Portsmouth, Jackson, Zanesville, Ironton, Gallipolis, Marietta, Lima, Findlay, Ashtabula.
Indiana – Fort Wayne, South Bend, Elkhart, Kokomo, Warsaw, Marion
Pennsylvania – Erie, Hermitage, Scranton, Wilkes-Barre, Williamsport, State College
Tennessee – Kingsport, Johnson City, Bristol, Morristown.
West Virginia - Parkersburg

 

By the way I have the PDF presention of the IPCS/Horizon merger. If anybody wants it send me a private message with your email address and I'll email it to you.