After announcing last week a US$3.6bn deal to acquire spectrum from three cablecos, Verizon Wireless has agreed to acquire more spectrum from mobile operator Leap Wireless.
In a statement, Leap said Verizon would pay it US$188m in exchange for AWS and…
After announcing last week a US$3.6bn deal to acquire spectrum from three cablecos, Verizon Wireless has agreed to acquire more spectrum from mobile operator Leap Wireless.
In a statement, Leap said Verizon would pay it US$188m in exchange for AWS and PCS spectrum in various markets in the US.
Meanwhile, Leap will acquire 12MHz of 700MHz A block spectrum in Chicago from Verizon for US$204m.
Leap also said that Verizon had agreed to buy AWS spectrum in various markets from Savary Island Wireless, LLC, Leap’s “non-controlled, majority-owned venture”, for US$172m.
The three transactions are all still subject to regulatory approval. Leap was represented by Falkenberg Capital Corporation.
Leap said that the Chicago spectrum would supplement the 10MHz of spectrum that it currently operates in that area.
Its president and CEO, Doug Hutcheson, said that the company would use the net proceeds to support its deployment of LTE technology.
According to Leap, Savary Island will use “substantially all” of the net proceeds of its deal with Verizon to “prepay” its indebtedness to Cricket Communications, Leap’s subsidiary. Leap provides mobile services through the Cricket brand.
Verizon Wireless is a JV between Verizon Communications (55% stake) and Vodafone (45% stake).
