AT&T Completes Its $1.875 Billion Buy of Nextel Mexico
AT&T wrapped up its buy of Nextel Mexico from NII Holdings, unveiled in January (see 1501260068), the carrier said Thursday in a news release. AT&T paid $1.875 billion, less about $427 million of net debt and other adjustments, it said.…
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The deal includes Nextel Mexico’s spectrum licenses, network assets and 3 million subscribers. AT&T has gone big in Mexico and earlier this year bought wireless provider Iusacell. “AT&T will integrate Iusacell and Nextel into one company focused on bringing more choices, better service and faster mobile Internet speeds to more locations throughout Mexico,” AT&T said. “AT&T plans to create the first-ever North American Mobile Service area, which will cover more than 400 million consumers and businesses in Mexico and the United States.” Thaddeus Arroyo, CEO of AT&T Mexico and Iusacell, will lead the combined company. The buy was cleared by the U.S. Bankruptcy Court for the Southern District of New York, overseeing the restructuring of NII, and Mexico’s telecom regulator, the Instituto Federal de Telecomunicaciones (IFT). “Swift action by IFT, aided by recent regulatory reform by the Mexican government, has created a positive climate for AT&T to invest significantly in Mexico,” the carrier said. AT&T Chief Financial Officer John Stephens said April 22 that closure of the deal was imminent (see 1504220069).