T-Mobile and MetroPCS received the FCC approval back on March 12 which meant that the necessary approvals for a merger were almost complete. Basically, once the FCC offered their approval we still needed word from the Committee on Foreign Investment. Well, approval from the Committee on Foreign Investment as well as the MetroPCS stockholders. As of today however, MetroPCS has offered a bit of a status update.
In short, the Committee on Foreign Investment has offered the necessary approval. The Committee on Foreign Investment approval arrived on March 20 and was accompanied by details stating that “there are no unresolved national security concerns with respect to the transaction and that it has therefore concluded its review.” Basically, this means that the merger has received all necessary regulatory approvals and now only needs the approval from the stockholders.
The stockholder meeting is set for April 12, 2013. Of course, as we have seen in the past, MetroPCS is recommending that all stockholders approve the merger with T-Mobile. A statement from the MetroPCS board has asked that “stockholders vote their shares FOR all of the proposals relating to the proposed combination with T-Mobile by returning the GREEN proxy card they will receive in due course with a “FOR” vote for all proposals.”
The carrier has even gone as far as saying that “there is no assurance that MetroPCS will be able to deliver the same or better stockholder value.” All the that aside though, we do have to wonder what, if any effect the March 26 T-Mobile event will have on the decision of the stockholders. For those who may have missed the bit about the upcoming T-Mobile event, that is believed to be bringing the end of subsidies and contracts as well as the introduction of new plans.