Sprint Nextel Corp. said it will acquire another of its CDMA affiliates, this time picking up Enterprise Communications for about $98 million including the assumption of debt.
The move is the latest in a string of affiliate acquisitions in the wake of Sprint Corp.’s purchase of Nextel Communications Inc. in August.
The Enterprise deal will put more than 52,000 subscribers directly in Sprint Nextel’s pocket, and extend the company’s direct service coverage to an additional 825,000 potential customers.
Sprint Nextel also said it will pay about $2 million to acquire C-block wireless spectrum from an Enterprise affiliate. The deal is subject to regulatory approvals and is expected to close in the first quarter of 2006.
Sprint Nextel already has purchased or agreed to purchase CDMA affiliates Alamosa Holdings Inc. for $3.4 billion; US Unwired Inc. for $1.3 billion; IWO Holdings Inc. for $427 million; and Gulf Coast Wireless L.P. for $287.5 million.
In related news, a Delaware judge refused to dismiss a lawsuit by Sprint Nextel affiliate Ubiquitel Inc. against Nextel for violating Ubiquitel’s non-compete agreements with Sprint. Sprint Nextel had argued that the complaint didn’t meet legal standards for interference with a contract.
