Alltel Is Looking For A Buyer
source: Wall Street Journal
The Wall Street Journal reported Monday that Alltel has been trying to sell their company to AT&T, Verizon Communications, and Sprint Nextel. Although at this point the deal doesn’t look to promising, who knows?
Alltel is only the nation’s fifth largest carrier, but is still valued at $22 billion. This large number is making the deal quite difficult to make.
Alltel has earned a living providing service to the nation’s citizens that live in places where cell service is hard to get. Since the target markets are quite different, Alltel could be a nice asset for any of the major carriers. Sprint Nextel and Verizon are the only two that would easily match up with Alltel’s technology, however. Alltel has $12 active customers.
The Journal reported that Verizon is a lot more interested in acquiring full control of their Verizon Wireless division, of which Vodafone owns 50%. The move would most likely take about $50 billion to execute.
Sprint is an unlikey partner because they are still struggling to implement Nextel into their business plan. The timing doesn’t seem quite right.
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This entry was posted on Monday, March 5th, 2007 at 1:00 pm and is filed under Alltel. You can subscribe via RSS 2.0 feed to this post's comments. You can comment below, or link to this permanent URL from your own site. Your comments will appear immediately, but I reserve the right to delete innapropriate comments.