Feeds

Alltel in multi-billion dollar buyout

TPG Capital and GSCP tag-team mobile operator

Combat fraud and increase customer satisfaction

TPG Capital and Goldman Sachs Capital Partners (GSCP) have agreed a deal to purchase US mobile operator Alltel in a $27.5bn deal.

The agreement will see the investment firms acquire all outstanding Alltel stock for $71.50 per share, which represents a 23 percent premium on Alltel's closing price prior to the first time it was touted as a buyout target on 29 December.

Alltel has 12 million subscribers in 35 states in the US, mostly in the West, Midwest and South of the country.

If completed, the deal will be one of the largest private equity transactions ever made. The mobile operator expects the sale to be finalised by the fourth quarter of 2007 or by the first quarter of 2008. Completion of the deal is contingent upon customary closing conditions, including approval by Alltel's shareholders and regulatory approvals. Shareholders will be asked to vote on the proposed transaction at a special meeting that will be held on a date that has yet to be announced.

"This transaction delivers substantial and certain value to our shareholders, while providing the company with long-term partners who share our commitment to our customers, employees and the communities we serve," said Scott Ford, chief executive of Alltel, will remain on as chief executive after the takeover is complete.

"TPG and GSCP are long-term investors who are willing to make the investments necessary to continue to grow our wireless business in all of our markets. This transaction also ensures our customers can continue to rely on Alltel to deliver high-quality service and leading edge products and services," he said.

"We are excited about this opportunity to partner with an exceptional management team to continue to support their strategies for growth," said Richard Friedman, head of the Merchant Banking Division at Goldman Sachs.

The deal comes nearly a year to the day of Eircom's directors approving its takeover by an investment house. The private equity deal saw Australian investors Babcock & Brown acquire the telecoms operator in a €2.4bn deal.

Copyright © 2007, ENN

3 Big data security analytics techniques

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.