Prominent MetroPCS shareholder objects to T-Mobile takeover

19 Feb 2013

Paulson & Co, one of the largest shareholders of US cellco MetroPCS Communications, has indicated that it may oppose the wireless carrier’s merger with Deutsche Telekom’s T- Mobile USA unit due to the debt the combined company would hold. According to Bloomberg, Paulson & Co agrees with arguments presented by fellow shareholder P Schoenfeld Asset Management, which opposes the deal. Paulson & Co, which acquired eight million MetroPCS shares last year to boost its stake in the carrier to 8.7%, has said that it is withholding its decision on whether to vote in favour of the transaction until it sees the final proxy statement. According to Paulson & Co, the enlarged company ‘has too much debt, the interest rate on Deutsche Telekom’s debt financing is too high, and the exchange ratio is too low for PCS stockholders. It may be more prudent for PCS to remain independent and explore other higher value alternatives’.

United States,MetroPCS, T-Mobile US,



Have feedback, corrections, or story ideas? Send them to

Browse Past Issues


Filter CommsUpdate by the following categories or use the search.


Visit our help page information on performing advanced searches, including how to restrict the results by country or company.


CommsUpdate is an outstanding advertising venue for companies seeking to reach:

  • International carriers
  • Wholesale service providers
  • Equipment and software vendors
  • Telecom investors
  • Regulators

Learn more about advertising on CommsUpdate.