The U.S. Federal Communications Commission announced Thursday that it would approve T-Mobile's plan. agreement to acquire Ka'ena Corporation, the parent company of the Mint Mobile and Ultra Mobile prepaid wireless service brands, according to Reuters. The deal could be worth as much as $1.35 billion.
The move would allow T-Mobile to more directly leverage brands that already operate on its network. The FCC says the deal will make it easier for Mint Mobile and Ultra Mobile customers to switch service providers, Reuters reports. After obtaining regulatory approval, T-Mobile reportedly plans to close the deal on May 1.
See also: Best cell phone plans of 2024: Our top picks for April
“I am very pleased to announce that we have received regulatory approval to acquire Mint and Ultra Mobile,” T-Mobile CEO Mike Sievert said in a conference call Thursday. call for results. “We're really looking forward to welcoming them to the uncarrier family. And I know they'll fit in because they're hyper-focused on offering customers compelling products at great value.”
T-Mobile said it has reached an agreement to acquire Ka'ena Corporation in March 2023, noting that the deal would include a “combination of 39% cash and 61% stock,” it said in a statement at the time. The final sale price will be “based on Ka'ena's performance during certain periods before and after closing,” T-Mobile said at the time.
The wireless carrier noted that actor Ryan Reynolds, co-owner of Mint, would remain involved in a “creative role on behalf of Mint.” T-Mobile also announced its intention to “use its supplier relationships and distribution scale to help brands grow and offer competitive pricing and greater device inventory” and clarified that Mint and Ultra will be “complementary” to the operator’s other prepaid options.
Updated at 6:33 p.m.: Added comment on earnings call from T-Mobile's Mike Sievert