T-Mobile US on Tuesday said it has agreed to buy most wireless assets of U.S. Cellular for $2.4 billion. T-Mobile stock edged down on the deal, which includes about $2 billion in debt.
In addition, the deal is expected to close in mid-2025, subject to regulatory approvals.
T-Mobile will acquire U.S. Cellular's wireless operations and 30% of radio spectrum assets.
Verizon Communications also reportedly has been in talks with U.S. Cellular and its parent, Telephone & Data Systems.
Chicago-based U.S. Cellular serves about 4 million wireless subscribers, mostly in rural areas. Also, U.S. Cellular plans to keep most of its cellphone towers, which T-Mobile will continue to lease.
On the stock market today, T-Mobile stock rose more than 1% to 167.88. USM stock popped more than 5% 45.40. TDS stock jumped more than 5% to 19.75.
Also, T-Mobile trades about 2% below an entry point of 168.64.
Meanwhile, T-Mobile holds a Relative Strength Rating of 71 out of a best-possible 99, according to IBD Stock Checkup.
In addition, TMUS stock had gained 3.5% in 2024.
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