Mntsnow
12-16-2004, 7:33 AM
Sprint will buy Nextel in a $35 billion deal that will create a wireless behemoth.
The deal combines the No. 3 and No. 5 players in the market and will produce a company with about 40 million customers, including affiliates.
Sprint and Nextel shareholders will each own 50 percent of the combined company, dubbed Sprint Nextel. The terms of the deal call for each Nextel share to be exchanged for cash and stock in the new company worth 1.3 shares of the new firm. The exact blend of cash and stock will be determined at a later date, but based on today's share prices, each Nextel shareholder would receive about 1.28 Sprint Nextel shares and about 50 cents in cash for each Nextel share. Read more at Cnet (http://news.com.com/Sprint+agrees+to+buy+Nextel+for+38+billion/2100-1040_3-5491504.html)
The deal combines the No. 3 and No. 5 players in the market and will produce a company with about 40 million customers, including affiliates.
Sprint and Nextel shareholders will each own 50 percent of the combined company, dubbed Sprint Nextel. The terms of the deal call for each Nextel share to be exchanged for cash and stock in the new company worth 1.3 shares of the new firm. The exact blend of cash and stock will be determined at a later date, but based on today's share prices, each Nextel shareholder would receive about 1.28 Sprint Nextel shares and about 50 cents in cash for each Nextel share. Read more at Cnet (http://news.com.com/Sprint+agrees+to+buy+Nextel+for+38+billion/2100-1040_3-5491504.html)