Verizon Communications has agreed to purchase Vodafone's 45 percent stake in Verizon Wireless for $130 billion in one of the largest acquisitions of all time.
The company will finally have full access to the top U.S. wireless carrier, and its large profits.
Vodafone will use the proceeds to invest in their own networks and also to pay back investors through stock buybacks and dividends. ... [ read the full article ]
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Originally posted by Mysttic: So much for Verizon entering Canada.
Depends on their definition of "large transaction". Purchasing Wind and taking on their debt or creating their own startup in the next spectrum auction would only be a few billion tops, which is a lot by any means but is way smaller than this transaction.
More important to them is if its really worth it down the road probably.
Quote:Depends on their definition of "large transaction". Purchasing Wind and taking on their debt or creating their own startup in the next spectrum auction would only be a few billion tops, which is a lot by any means but is way smaller than this transaction.
More important to them is if its really worth it down the road probably.
Well considering they already came out and said we are not interested in entering Canada, and the Canadian media blew their interest way out of proportion. Wind is currently here to stay along with Mobilicity assuming 1 of the big 3 don't buy them out in 2014. Rogers already tried to sweep in for Mobilicity and was blocked by our government because it wasn't past the 3 year rule: so in the end, even the new competition that exists is just going to merge into the big 3.
Verizon was a key chance to make big 3 go into big 4. Sucks that won't happen now, but it's not like Canadians aren't used to it.
Personally I think Verizon spent way too much to own themselves: a risky move to be sure. I wouldn't be surprised of T-Mobile, Sprint and AT&T try to take advantage of their new debt load.
