The U.S. Federal Communications Commission (FCC) announced its approval on Thursday of T-Mobile US’s acquisition of Ka’ena Corp, the parent company of budget service provider Mint Mobile, in a deal valued at up to $1.35 billion.
Highlighting T-Mobile’s commitment to consumer choice, the FCC pointed to T-Mobile’s agreement to implement a 60-day unlocking period for all Mint Mobile and Ultra Mobile devices activated on the T-Mobile network before and after the acquisition’s completion. This move aims to facilitate easier switching for Mint Mobile and Ultra Mobile customers between service providers.
With regulatory clearance secured, T-Mobile anticipates finalizing the acquisition on May 1. The deal, initially announced in March 2023, is seen as a strategic move by T-Mobile to expand its reach within the pay-as-you-go customer segment, tapping into Mint Mobile’s customer base.
The acquisition agreement, structured with 39 percent cash and 61 percent stock components, includes provisions for determining the final purchase price based on Ka’ena’s performance before and after the deal’s closure, as disclosed by T-Mobile last year.
Mint Mobile, recognized for its innovative marketing campaigns often featuring actor Ryan Reynolds, gained attention during the onset of the COVID-19 pandemic in 2020. Reynolds personally engaged with users, leaving a voicemail announcing unlimited free data offerings from the company.
