RESTON, Va.—Nextel Communications Inc. stock fell more than 25 percent on Tuesday to an all-time low of $3.35 per share after the carrier reported its international division would take a restructuring charge of between $1 billion and $2 billion. Nextel’s stock rebounded by the close of trading to $3.55 per share.
More than 74 million shares of Nextel stock changed hands during the day, well above the typical volume of around 14 million shares.
NII Holdings has been in discussions with creditors regarding the possible restructuring of its debt, and it has hinted the selling of assets or bankruptcy could be eventual options. Investors were also spooked by recent news reports discounting Nextel’s worth and questioning its suitability as a possible acquisition target by other wireless operators.
Nextel affiliate, Nextel Partners Inc., also saw its stock price fall more than 25 percent to a new low of $3.37 per share, before closing at $3.66 per share.
