T-Mobile has finalized its acquisition of UScellular, a move that will see the wireless carrier absorb approximately $1.7 billion in UScellular debt. The cash portion of the deal amounted to $2.6 billion. This assumption of debt is contingent upon an exchange offer extended to UScellular debtholders, with the transaction expected to be fully completed by August 5, 2025. Following the integration, the UScellular brand will be phased out and transitioned under the T-Mobile umbrella.
T-Mobile plans to issue a financial impact statement regarding this transaction prior to or during its third quarter earnings call.
T-mobile Continues Expansion Through Strategic Acquisitions
This acquisition follows a series of strategic moves by T-Mobile to expand its market presence. As previously reported, UScellular will undergo a rebranding and adopt a new NYSE ticker symbol, becoming Array digital Infrastructure Inc. with the stock symbol AD. This new entity will manage two distinct portfolios: one focused on cell towers and the other on spectrum assets.
The UScellular deal adds to T-Mobile’s recent acquisition portfolio. In the past year, T-Mobile also acquired the mobile virtual network operator (MVNO) Mint Mobile, which was partly owned by actor Ryan Reynolds, known for his involvement in Mint’s distinctive humor-based advertising campaigns. Additionally, T-Mobile acquired another MVNO, Ultra Mobile, with both transactions closing on May 1, 2024.
Prior to these recent deals, T-Mobile completed its substantial $26.5 billion acquisition of Sprint, which closed on April 1, 2020. Before that landmark merger, T-Mobile had also acquired the MVNO MetroPCS, a transaction that concluded on May 1, 2013.
