AT&T acquires Straight Path, with spectrum, for USD 1.25 bln

News Wireless United States 10 APR 2017
AT&T acquires Straight Path, with spectrum, for USD 1.25 bln

AT&T has agreed to acquire Straight Path Communications for USD 1.25 billion worth of stock, in a deal that will boost the company’s holdings in mmWave spectrum and support the development of 5G technologies. The total deal is valued at USD 1.6 billion, including liabilities and payments to be remitted to the FCC according to Straight Path’s January 2017 consent decree.

The deal is still subject to FCC review, with completion expected within 12 months. Straight Path shareholders will receive USD 1.25 billion, or USD 95.63 per share, which will be paid using AT&T stock.

Straight Path holds a nationwide portfolio of millimeter wave (mmWave) spectrum, including 39 GHz and 28 GHz licenses. With the buy, AT&T will get 735 mmWave licenses in the 39 GHz band and 133 licenses in the 28 GHz band. All the licenses cover the entire US, including all of the top 40 markets.

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Mobile

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United States

Tags:

Government telecommunications licensing, Wireless, Internet Access, Corporate strategy, M&A buyouts & divestments

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