Wednesday, Mar 03, 2021 | Last Update : 01:09 AM IST

  Business   Companies  11 May 2017  Verizon wins bidding war with AT&T for Straight Path

Verizon wins bidding war with AT&T for Straight Path

PTI
Published : May 11, 2017, 5:08 pm IST
Updated : May 11, 2017, 5:08 pm IST

Verizon will pay $184 per share, a 400 pc premium to its closing price just before AT&T made its bid in April.

AT&T is declining to match that offer, and Verizon will pay a $38 million termination fee to AT&T on behalf of Straight Path.
 AT&T is declining to match that offer, and Verizon will pay a $38 million termination fee to AT&T on behalf of Straight Path.

New York: Verizon Communications is buying Straight Path Communications for about $3.1 billion, ending a bidding war with AT&T over the wireless licenses company.

The all-stock deal was announced Thursday, one month after AT&T said that it would buy Straight Path for $1.6 billion. AT&T is declining to match that offer, and Verizon will pay a $38 million termination fee to AT&T on behalf of Straight Path.

 

Straight Path, based in Glen Allen, Virginia, holds spectrum licenses which the telecom companies can use to expand services, including faster 5G service.

Verizon will pay $184 per share, a 400 per cent premium to its closing price just before AT&T made its bid in April.

Tags: verizon communications, at&t, spectrum licenses, shares, straight path
Location: United States, New York, New York