AT&T buying Alltel ??? WSJ thinks so -
April 24, 2007, 2:07 pm
Alltel: The Swan Song Purchase of AT&T’s Whitacre?
AT&T’s Ed Whitacre is a rare breed of CEO who’s actually made his shareholders money doing acquisitions, and the company’s earnings report today has got investors guessing about who may be next on his target list.
AT&T reported first-quarter net income that nearly doubled to $2.85 billion, helped by a breakneck acquisition binge in the past few years in which the company formerly known as SBC Communications swallowed AT&T Wireless, AT&T itself and, most recently, BellSouth. The gains have helped boost its stock price to almost $40 a share from $25 in the past year, adding nearly $100 billion in market value. It’s no wonder that with Whitacre pushing AT&T’s re...
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Alltel: The Swan Song Purchase of AT&T’s Whitacre?
AT&T’s Ed Whitacre is a rare breed of CEO who’s actually made his shareholders money doing acquisitions, and the company’s earnings report today has got investors guessing about who may be next on his target list.
AT&T reported first-quarter net income that nearly doubled to $2.85 billion, helped by a breakneck acquisition binge in the past few years in which the company formerly known as SBC Communications swallowed AT&T Wireless, AT&T itself and, most recently, BellSouth. The gains have helped boost its stock price to almost $40 a share from $25 in the past year, adding nearly $100 billion in market value. It’s no wonder that with Whitacre pushing AT&T’s re...
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thickjake said:...
April 24, 2007, 2:07 pm
Alltel: The Swan Song Purchase of AT&T’s Whitacre?
AT&T’s Ed Whitacre is a rare breed of CEO who’s actually made his shareholders money doing acquisitions, and the company’s earnings report today has got investors guessing about who may be next on his target list.
AT&T reported first-quarter net income that nearly doubled to $2.85 billion, helped by a breakneck acquisition binge in the past few years in which the company formerly known as SBC Communications swallowed AT&T Wireless, AT&T itself and, most recently, BellSouth. The gains have helped boost its stock price to almost $40 a share from $25 in the past year, adding nearly $100 billion in market value. It’s no wonder
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That is a good thought, or what about hybrid technology with GSM/CDMA? Would they be thinking in that capacity?
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cremz said:
That is a good thought, or what about hybrid technology with GSM/CDMA? Would they be thinking in that capacity?
doubt it. because in a few years both will be replaced with 3G... while possible to do, it would be to costly for phone manufactures.
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I highly disagree with the WSJ article with regarding the purchase of Alltel by AT&T especially since AT&T has been on a spending spree lately and I do not think that it would be wise for them to continue to purchase especially taking on the debt load and other purchases they have made. $30B is a lot of money for Alltel and AT&T, with a great credit ranking can afford them, I don’t think it is suitable to them because AT&T already has a very good network, a lot of subscribers, and great spectrum assets and I don’t think with the purchase of Alltel would do them any good. The only thing would help is to add to their subscriber total, however, there would be divestitures that would happen if this deal were to be approved. I do not think that A...
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I was thinking maybe AT&T would do it to keep Alltel away from Verizon Wireless or possible try to hurt Verizon Wireless by making this acquisition.
Of course, it's much more likely I'm just being a crazy conspiracy theorist 😉
Of course, it's much more likely I'm just being a crazy conspiracy theorist 😉
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Well that price tag of $30B including a premium is a bit much for Alltel especially since Verizon and AT&T really do not need Alltel’s assets when it comes to spectrum and towers. The only benefactor for the purchase would be acquiring those subscribers that Alltel has. Unfortunately, I do not think it is worth $30B for 12 or so million customers when both of the companies AT&T and Verizon can do that organically. Moreover, I do not think it will pass regulatory muster because both AT&T and Verizon has tremendous assets with regarding spectrum and subscribers. I do not think it would be a beneficial thing for AT&T or Verizon to purchase Alltel.
Verizon can get 12 million customers let’s say on average 1.5 million per quarter which is 6 m...
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Verizon can get 12 million customers let’s say on average 1.5 million per quarter which is 6 m...
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nextel18 said:
organically. organically organically organic organically organically organically.
you had a good post but that's what it looked like without the other words you used.
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but you're assuming they can get those customers in existing markets which seem to be saturated right now
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