The US Federal Communications Commission on Thursday said it’ll approve T-Mobile’s deal to acquire Ka’ena Corporation, the parent company of prepaid wireless brands Mint Mobile and Ultra Mobile, according to Reuters. The deal could be worth up to $1.35 billion.
The move would allow T-Mobile to more directly operate the brands, which already run on its network. The FCC says the agreement will allow Mint Mobile and Ultra Mobile customers to more easily switch service providers, Reuters reports. After getting regulatory approval, T-Mobile reportedly anticipates closing the deal on May 1.
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“I am so happy to report that we have received regulatory approval to acquire Mint and Ultra Mobile,” T-Mobile’s CEO Mike Sievert said Thursday during an earnings call. “We are really looking forward to welcoming them to the ‘uncarrier’ family. And I know they are going to fit in because they are hyper-focused on offering customers compelling products at a great value.”
T-Mobile shared that it had reached an agreement to acquire Ka’ena Corporation in March 2023, noting the deal would include a “combination of 39% cash and 61% stock,” it shared in a release at the time. The final sales price will be “based upon Ka’ena’s performance during certain periods before and after the closing,” T-Mobile said at the time.
The wireless carrier noted that actor Ryan Reynolds, Mint’s part owner, would stay involved in a “creative role on behalf of Mint.” T-Mobile also shared its intention to “use its supplier relationships and distribution scale to help the brands to grow and offer competitive pricing and greater device inventory” and specified that Mint and Ultra will be “complementary” to the carrier’s other prepaid options.
Updated, 6:33 p.m.: Added earnings call comment from T-Mobile’s Mike Sievert
