Tag Archives: Acquire

T-Mobile agrees to acquire Sprint
April 29, 2018 6:05 pm|Comments (0)

(Reuters) – T-Mobile US Inc agreed on Sunday to acquire peer Sprint Corp, in a $ 26 billion all-stock deal that will combine the third and fourth largest U.S. wireless carriers and is expected to attract regulatory scrutiny over its impact on consumers.

Smartphones with the logos of T-Mobile and Sprint are seen in this illustration taken September 19, 2017. REUTERS/Dado Ruvic/Illustration

The agreement caps four years of on- and off- talks between the companies, setting the stage for the creation of a carrier with 127 million customers that will be a more formidable competitor to the No.1 and No.2 wireless players, Verizon Communications Inc and AT&T Inc.

U.S. regulators, which have challenged in court AT&T’s $ 85 billion deal to buy U.S. media company Time Warner Inc, are expected to grill Sprint and T-Mobile on how they will price their combined wireless offerings.

The merger will create the highest capacity network in the United States, lower prices, create jobs and improve service in rural areas, said John Legere, the current chief executive of T-Mobile and the new head of the proposed combined company.

T-Mobile and Sprint said they expected to complete their deal no later than the first half of 2019, an ambitious goal given the intense U.S. regulatory scrutiny it will be subjected to. T-Mobile will not be liable to pay Sprint a breakup fee should regulators block the deal, according to sources who asked not to be identified because that detail in their contract has not yet been made public.

The companies said they expect U.S. regulators would see the benefits of the deal.

“This isn’t a case of going from four to three wireless companies – there are now at least seven or eight big competitors in this converging market,” Legere said in a statement. Other companies also would be forced to accelerate their investments in the face of a combined T-Mobile-Sprint, the companies added.

A spokeswoman for Federal Communications Commission Chairman Ajit Pai declined to comment on Sunday on the proposed merger. The FCC will decide whether to grant the deal regulatory approval and if deal is in the “public interest.”

DEAL BREAKTHROUGH

The breakthrough in the companies’ negotiations, first reported by Reuters on Thursday, came after T-Mobile majority-owner Deutsche Telekom AG and Japan’s SoftBank Group Corp, which controls Sprint, agreed on a structure that will allow Deutsche Telekom to continue to consolidate the combined company, which will have a market value of over $ 80 billion, on its books.

Deutsche Telekom will own 42 percent of the combined company, and will control the board of the combined company, nominating nine of the 14 directors. Legere will also serve as a director.

The implied equity valuation for Sprint is $ 6.62 per share based on T-Mobile’s closing share price on Friday. Sprint shares closed Friday at $ 6.50.

The all-stock transaction is at a fixed exchange ratio of 0.10256 T-Mobile shares for each Sprint share, or the equivalent of 9.75 Sprint shares for each T-Mobile US share.

Sprint’s and T-Mobile’s first round of merger talks ended unsuccessfully in 2014 after U.S. President Barack Obama’s administration expressed antitrust concerns about the deal.

Under U.S. President Donald Trump’s administration, regulators have continued to fret about consumer prices. The U.S. government has opened a probe into alleged coordination by AT&T, Verizon Communications and a telecommunications standards organization to hinder consumers from easily switching wireless carriers, a person briefed on the matter said earlier this month.

The second round of talks between Sprint and T-Mobile ended in November over valuation disagreements, although Deutsche Telekom CEO Tim Hoettges, left the door open at the time, saying: “You always meet twice in life.”

Since then, Sprint’s shares lost about a fifth of their value amid questions about how the company can compete effectively under the weight of its long-term debt of more than $ 32 billion.

Softbank has been looking to trim its own debt as well, which reached 15.8 trillion yen ($ 147 billion) as of the end of December. It has said it is planning to raise cash by taking its Japanese mobile phone unit public this year.

Failure to clinch a deal last November left SoftBank CEO Masayoshi Son, a dealmaker who raised close to $ 100 billion for his Vision Fund to invest in technology companies, in search of other options for Sprint.

INVESTING IN 5G TECHNOLOGY

Even though Sprint’s customer base has expanded under CEO Marcelo Claure, growth has been driven by discounting. Analysts say that, without T-Mobile, Sprint lacks the scale needed to invest in its network and to compete in a saturated market.

T-Mobile has fared better than Sprint, even if it remains a distant third to Verizon and AT&T. It has managed to score sustained market share gains, as innovative offerings, improving network performance and good customer service attract new customers, according to Moody’s Investors Service Inc.

T-Mobile became the first major U.S. carrier to eliminate two-year contracts, a shift quickly embraced by consumers and copied by competitors. The company has also badgered rivals with its unlimited data plans.

Both Sprint and T-Mobile are far behind Verizon and AT&T in upgrading their network to accommodate next generation 5G wireless technology. Even after their merger, the combined company’s budget to invest in 5G will be smaller than Verizon or AT&T’s.

However, Sprint and T-Mobile hope the deal will give them more firepower to participate in auction for spectrum to develop 5G. They plan to participate in a spectrum auction in late fall.

Reporting by Greg Roumeliotis in New York; Writing by Sheila Dang; Editing by Lisa Shumaker and Peter Henderson

Tech

Posted in: Cloud Computing|Tags: , , ,
T-Mobile agrees to acquire Sprint for $26 billion
April 29, 2018 6:02 pm|Comments (0)

(Reuters) – T-Mobile US Inc agreed on Sunday to acquire peer Sprint Corp, in a $ 26 billion all-stock deal that will combine the third and fourth largest U.S. wireless carriers and is expected to attract regulatory scrutiny over its impact on consumers.

Smartphones with the logos of T-Mobile and Sprint are seen in this illustration taken September 19, 2017. REUTERS/Dado Ruvic/Illustration

The agreement caps four years of on- and off- talks between the companies, setting the stage for the creation of a carrier with 127 million customers that will be a more formidable competitor to the No.1 and No.2 wireless players, Verizon Communications Inc and AT&T Inc.

U.S. regulators, which have challenged in court AT&T’s $ 85 billion deal to buy U.S. media company Time Warner Inc, are expected to grill Sprint and T-Mobile on how they will price their combined wireless offerings.

The merger will create the highest capacity network in the United States, lower prices, create jobs and improve service in rural areas, said John Legere, the current chief executive of T-Mobile and the new head of the proposed combined company.

T-Mobile and Sprint said they expected to complete their deal no later than the first half of 2019, an ambitious goal given the intense U.S. regulatory scrutiny it will be subjected to. T-Mobile will not be liable to pay Sprint a breakup fee should regulators block the deal, according to sources who asked not to be identified because that detail in their contract has not yet been made public.

The companies said they expect U.S. regulators would see the benefits of the deal.

“This isn’t a case of going from four to three wireless companies – there are now at least seven or eight big competitors in this converging market,” Legere said in a statement. Other companies also would be forced to accelerate their investments in the face of a combined T-Mobile-Sprint, the companies added.

A spokeswoman for Federal Communications Commission Chairman Ajit Pai declined to comment on Sunday on the proposed merger. The FCC will decide whether to grant the deal regulatory approval and if deal is in the “public interest.”

DEAL BREAKTHROUGH

The breakthrough in the companies’ negotiations, first reported by Reuters on Thursday, came after T-Mobile majority-owner Deutsche Telekom AG and Japan’s SoftBank Group Corp, which controls Sprint, agreed on a structure that will allow Deutsche Telekom to continue to consolidate the combined company, which will have a market value of over $ 80 billion, on its books.

Deutsche Telekom will own 42 percent of the combined company, and will control the board of the combined company, nominating nine of the 14 directors. Legere will also serve as a director.

The implied equity valuation for Sprint is $ 6.62 per share based on T-Mobile’s closing share price on Friday. Sprint shares closed Friday at $ 6.50.

The all-stock transaction is at a fixed exchange ratio of 0.10256 T-Mobile shares for each Sprint share, or the equivalent of 9.75 Sprint shares for each T-Mobile US share.

Sprint’s and T-Mobile’s first round of merger talks ended unsuccessfully in 2014 after U.S. President Barack Obama’s administration expressed antitrust concerns about the deal.

Under U.S. President Donald Trump’s administration, regulators have continued to fret about consumer prices. The U.S. government has opened a probe into alleged coordination by AT&T, Verizon Communications and a telecommunications standards organization to hinder consumers from easily switching wireless carriers, a person briefed on the matter said earlier this month.

The second round of talks between Sprint and T-Mobile ended in November over valuation disagreements, although Deutsche Telekom CEO Tim Hoettges, left the door open at the time, saying: “You always meet twice in life.”

Since then, Sprint’s shares lost about a fifth of their value amid questions about how the company can compete effectively under the weight of its long-term debt of more than $ 32 billion.

Softbank has been looking to trim its own debt as well, which reached 15.8 trillion yen ($ 147 billion) as of the end of December. It has said it is planning to raise cash by taking its Japanese mobile phone unit public this year.

Failure to clinch a deal last November left SoftBank CEO Masayoshi Son, a dealmaker who raised close to $ 100 billion for his Vision Fund to invest in technology companies, in search of other options for Sprint.

INVESTING IN 5G TECHNOLOGY

Even though Sprint’s customer base has expanded under CEO Marcelo Claure, growth has been driven by discounting. Analysts say that, without T-Mobile, Sprint lacks the scale needed to invest in its network and to compete in a saturated market.

T-Mobile has fared better than Sprint, even if it remains a distant third to Verizon and AT&T. It has managed to score sustained market share gains, as innovative offerings, improving network performance and good customer service attract new customers, according to Moody’s Investors Service Inc.

T-Mobile became the first major U.S. carrier to eliminate two-year contracts, a shift quickly embraced by consumers and copied by competitors. The company has also badgered rivals with its unlimited data plans.

Both Sprint and T-Mobile are far behind Verizon and AT&T in upgrading their network to accommodate next generation 5G wireless technology. Even after their merger, the combined company’s budget to invest in 5G will be smaller than Verizon or AT&T’s.

However, Sprint and T-Mobile hope the deal will give them more firepower to participate in auction for spectrum to develop 5G. They plan to participate in a spectrum auction in late fall.

Reporting by Greg Roumeliotis in New York; Writing by Sheila Dang; Editing by Lisa Shumaker and Peter Henderson

Tech

Posted in: Cloud Computing|Tags: , , , ,
Apple in talks to acquire music identification app Shazam: source
December 9, 2017 12:33 am|Comments (0)

SAN FRANCISCO (Reuters) – Apple Inc (AAPL.O) is in talks to acquire Shazam Entertainment Ltd, whose software helps users identify songs by pointing their phone at an audio source, according to a person familiar with the situation.

FILE PHOTO – A man looks at the screen of his mobile phone in front of an Apple logo outside its store in Shanghai, China July 30, 2017. REUTERS/Aly Song

Shazam’s smartphone app is already tightly integrated with Apple’s Siri digital assistant. Users of Apple’s iPhone with the Shazam app installed can say: “Hey Siri, what’s that song?” and the app will identify it. But Shazam has other features, such as the ability to identify television shows, that do not yet work with Siri.

Tech news website TechCrunch reported the talks earlier, writing that Apple could pay about $ 400 million for Shazam and that a deal could be signed as early as next week.

Shazam did not respond to a request for comment.

Privately-held, UK-based Shazam has raised $ 143 million from DN Capital Limited, Institutional Venture Partners, and Kleiner Perkins Caufield & Byers, among others, over its 18-year history, according to PitchBook, a firm that tracks private venture investments.

The price TechCrunch reported would fall far below Shazam’s most recent $ 1 billion valuation reported by PitchBook.

An acquisition of Shazam could help bolster Apple’s music efforts by making it easier for users to find songs and add them to playlists in its Apple Music service. As of mid-2017, Apple Music had 27 million subscribers, behind rival music streaming service Spotify’s 60 million users.

Reporting by Stephen Nellis, Editing by Rosalba O’Brien

Our Standards:The Thomson Reuters Trust Principles.

Tech

Posted in: Cloud Computing|Tags: , , , , , ,
Daily Mail reportedly exploring bid to acquire Yahoo
April 10, 2016 11:45 pm|Comments (0)

Yahoo's billboard in San Francisco

Last week, Yahoo extended the deadline for potential bidders to submit their proposals to acquire the Silicon Valley company. Already reports have surfaced companies like Verizon and Google seeking to make a move, but today it seems that the parent company of the U.K.-based Daily Mail is in talks with private equity firms to make its own bid for Yahoo.

Things are getting interesting.

The Wall Street Journal reports that if the Daily Mail actually submits a bid, it could take one of two forms: A private equity partner would acquire Yahoo’s core web business with the Daily Mail taking over the news and media properties; or the private equity partner would acquire Yahoo’s core web business and merge the media and news properties into the Daily Mail’s online operations.

Reports indicate that there have been as many as 40 firms that have expressed an interest in what Yahoo has to offer, but how many are actually serious remains unknown. Time Inc. is perhaps one of the few known publication and media companies to be contemplating a bid, which could strike some similarities with the Daily Mail’s plans.

Yahoo has been spending its time focusing on how to sell its core internet business since December. After some shareholders flip-flopped on whether the company should spin out its Alibaba holdings into a standalone company, the remaining option was to part with Yahoo’s core business. During its Q4 2016 earnings, the firm revealed that it was implementing an “aggressive strategic plan” to simplify itself, hopefully in a move to make it more enticing to potential buyers. As a result 15 percent of its workforce was being let go, making up 9,000 employees and fewer than 1,000 contractors.

According to documents obtained by Re/code, the financial situation at Yahoo isn’t that great. It’s said that revenue at the company is dropping close to 15 percent and earnings by over 20 percent. So while there are people contemplating bids, the real test will be to see which ones don’t balk at the seemingly dire circumstances Yahoo finds itself in and remain adamant that they can use its offerings.

More information:

Get more stories like this:  twitter  facebook



Uncategorized

Posted in: Web Hosting News|Tags: , , , , ,
Tucows’ to Acquire Melbourne IT’s International Wholesale Domain Reseller Channel
March 16, 2016 1:40 am|Comments (0)

“Wholesale domain services for web hosting companies and ISPs has been a core component of the Tucows business for more than 16 years,” added Mr. Woroch. “Today, we are one of the largest wholesale domain name registrars in the world and the step …

RSS-4


RSS-4

Posted in: Web Hosting News|Tags: , , , , , , , ,