Shareholders in Leap Wireless will vote on the mobile operator’s US$1.19bn sale to AT&T on 24 October at an EGM in Denver.
In a SEC filing Leap also disclosed that it has agreed to a breakup fee of either US$46.3m or US$71.2m to AT&T should the deal…
Shareholders in Leap Wireless will vote on the mobile operator’s US$1.19bn sale to AT&T on 24 October at an EGM in Denver.
In a SEC filing Leap also disclosed that it has agreed to a breakup fee of either US$46.3m or US$71.2m to AT&T should the deal collapse. The actual amount would depend on the manner in which the transaction broke down.
The US incumbent agreed to buy Leap for an enterprise value of US$4bn in July paying US$15.00 per share, an 88% premium on Nasdaq-listed Leap’s US$7.98 closing price prior to the bid.
Leap’s stock is now trading above the offer price, opening at US$15.58 today.
Leap recorded revenues of US$3.1bn last year and adjusted OIBDA of US$601m. Meanwhile AT&T registered US$32.6bn revenues for 2012.
Lazard is serving as sole financial adviser to Leap and Wachtell, Lipton, Rosen & Katz are acting as legal counsel.
Evercore Partners is financial adviser to AT&T while Sullivan & Cromwell serves as its counsel.
