FCC approves Verizon buyout of Vodafone

FCC approves Verizon buyout of Vodafone
A few months ago, reports began gaining steam that there had been a breakthrough in the negotiations between Verizon and Vodafone, which would allow Verizon to buyout Vodafone's stake in Verizon Wireless. Early in September, the deal was announced which would have Verizon paying $130 billion to regain full control of its wireless network, and now the first regulatory hurdle has been crossed.

The FCC has now approved the deal under new provisions which are designed to make it easier for foreign companies to invest in U.S. wireless networks, although obviously in this case it is having quite the opposite effect. The purchase is expected to go through in Q1 of 2014, at which point Verizon will pay $130 for Vodafone's 45% stake in Verizon Wireless. Once the deal is closed, Verizon will have full control over its wireless network. 

On an interesting side note, there have also been rumors that AT&T is looking into purchasing Vodafone in 2014. AT&T had been trying to work a deal to purchase Vodafone's European operations sooner and then give the stake of Verizon Wireless back to Verizon, but that fell through. So, AT&T could continue with its bid after the Verizon deal closes.

source: FCC via The Verge

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4 Comments

3. Sparhawk

Posts: 75; Member since: Mar 10, 2012

"...at which point Verizon will pay $130 for Vodafone's 45% stake in Verizon Wireless." If I had known that 45% of VZW would only cost $130, I would have bought them myself, no regulatory hurdles needed. That's less than I paid for my last VZW phone! Something tells me that number is off by a factor of a billion or so. ;)-

4. mcshank

Posts: 47; Member since: Apr 24, 2013

$129,999,999,870 off.

1. nobelset

Posts: 270; Member since: Oct 17, 2012

That's a lot of money... Although they won't pay it all in cash, sometimes I feel money is taking over our lives. It always has, but as more people are in possession of money, wonder what'll become of us... We buy the newest phone, tablet, laptop every year, even though we don't need it. Businesses are cruel, paying little for workers in cheap laboring countries... Just saying... You can like a company's products, but you don't have to support it. In the end all they care about is money.

2. ady_lad

Posts: 83; Member since: Jul 17, 2013

Thumbs up for you mate, how true is everything you said unfortunately...

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