CHICAGO-US Unwired Inc. said it will buy its competitor IWO Holdings Inc. for $459 million in stock, making it the largest Sprint PCS affiliate, coverage-wise.
Analyst Ric Prentiss of Raymond James said the move is a good one because it creates a larger company in terms of pops, customers, market cap and float. In addition he believes it will lead to combined positive EBITA for US Unwired in the upcoming year.
The deal is expected to close in the second quarter of 2002.