Sprint to Acquire Virgin Mobile USA
July 28, 2009 by Mark Ellis
Filed under Business
In a move that signals changing ambitions on the part of Sprint, America’s third-largest cell phone service, has decided to acquire Virgin Mobile USA for $483 million in shares and cash. Virgin Mobile USA, a low-end prepaid mobile company, will allow Sprint to continue its foray into the prepaid market.
Sprint, which will post its quarterly results tomorrow, already has a prepaid network called Boost, allowing users to pay a set monthly fee in exchange for unlimited calling capability. Thus, Sprint’s decision to buy out Virgin Mobile USA has puzzled some analysts, considering that Sprint already owned 13.1 percent of the …read more
