Earlier this month, it was revealed that T-Mobile and Verizon Wireless had shown their interest in acquiring US Cellular. Just a few weeks later and T-Mobile seems to have won the hearts of US Cellular’s execs.
According to T-Mobile’s announcement today, T-Mobile will be acquiring substantially all of US Cellular’s wireless operations, including its wireless customers, stores, and specified spectrum assets. With this acquisition, T-Mobile will be giving US Cellular customers, particularly those in rural areas, enhanced connectivity experience. Meanwhile, T-Mobile customers will also gain access to US Cellular’s network in areas where they previously had limited coverage.
T-Mobile’s CEO, Mike Sievert, said:
“With this deal T-Mobile can extend the superior Un-carrier value and experiences that we’re famous for to millions of UScellular customers and deliver them lower-priced, value-packed plans and better connectivity on our best-in-class nationwide 5G network. As customers from both companies will get more coverage and more capacity from our combined footprint, our competitors will be forced to keep up – and even more consumers will benefit. The Un-carrier is all about shaking up wireless for the good of consumers and this deal is another way for us to continue doing even more of that.”
US Cellular’s CEO, Laurent Therivel, said:
“T-Mobile’s purchase and integration of UScellular’s wireless operations will provide best-in-class connectivity to rural Americans through enhanced nationwide coverage and service offerings at more compelling price points. The transaction provides our customers access to better coverage and speeds, as well as unlimited texting in more than 215 countries, content offers, device upgrades and other T-Mobile benefits.”
In its announcement, T-Mobile revealed that the deal cost them approximately $4.4 billion for US Cellular’s assets. This will be paid via a combination of cash and a debt of up to $2 billion.
The acquisition will still be subject to certain regulatory approvals. If things go well, it is expected to close sometime in 2025.
Source: T-Mobile