Sprint Nextel Corporation and Virgo Mobile River USA, Inc. announced that they rich person completed their previously announced merger dealing. The accomplishment of Virgo Mobile River USA strengthens Sprint’s spot in the growing prepaid segment by delivery together the iconic Virgo Mobile River brand with Sprint’s successful Boost Mobile River stage business.
Virgo Mobile USA stockholders approved the transaction with Sprint. With this blessing, all mop up conditions for the transaction were met.
“With continued emergence in the U.S. prepaid segment, Sprint is further position itself as a leader,” said Dan Hermann Hesse, Sprint CEO. “With Boost’s continued achiever and the iconic Virgo Mobile sword under one umbrella, Sprint volition pass customers economic value and flexibility with great devices running on a dependable network with great coverage.”
Merger Transaction
Virgin Mobile River United States Army stockholders will receive shares of common livestock of Sprint Nextel based on the substitution ratios described below, and immediate payment in stead of fractional shares.
Virgo Mobile United States Army Public Stockholders:
All stockholders of Virgin Mobile USA (excluding Sprint Nextel, the Virgin Group and SK Telecom) will receive 1.3668 shares of Sprint Nextel park stock for each contribution of Virgo Mobile USA Class A park livestock.
The Virgin Group:
* The Virgin Group volition receive 1.2724 shares of Sprint Nextel park stock for each contribution of Virgin Mobile River United States Army park stock owned by the Virgin Group.
* The Virgin Group volition receive 149.6941 shares of Sprint Nextel park livestock for each contribution of Virgo Mobile River USA preferred stock owned by the Virgin Group.
SK Telecom:
* SK Telecom volition receive 1.2279 shares of Sprint Nextel park livestock for each share of Virgo Mobile River USA park stock owned by SK Telecom.
* SK Telecom will receive 144.4588 shares of Sprint Nextel park stock for each share of Virgo Mobile River USA preferred livestock owned by SK Telecom.
All of Virgin Mobile USA’s outstanding debt has been retired, including amounts due under its Senior Secured Credit Facility and its related party Subordinated Secured Revolving Credit Agreement.
Sprint Nextel elected to shuffle each of the payments required pursuant to the Trademark License Agreement, the Tax Receivable Agreement and the Subordinated Secured Revolving Credit Agreement in cash.
Virgo Mobile River USA’s Class A common livestock will cease trading on the NYSE as of the closing of the market today and volition be delisted.
Seamless Transition
Customers using Sprint’s Boost Mobile River or Virgo Mobile River USA’s products and services volition continue to enjoy the benefits of their stream phones, overhaul plans and features and do not need to take any military action.
An experienced management squad will jumper cable Sprint’s prepaid grouping. Dan Schulman, formerly the chief executive officer of Virgin Mobile River USA, is now the prexy and Matt Carter, former head of Boost, volition lead the gross sales and marketing efforts for the combined prepaid group.
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