The Federal Trade Commission has given antitrust clearance to Verizon’s US$6.25 billion acquisition of Tracfone Wireless from América Móvil. Verizon reached a deal with América Móvil in mid-September, offering US$3.125 billion in cash and US$3.125 billion in stock.
The US wireless industry is concentrated in the hands of three mobile carriers due to several mergers in recent years: T-Mobile, which in April completed its US$23 billion merger with Sprint to solidify its position in the United States; AT&T; and Verizon.
America Movil, which was created from a state monopoly, is Mexico’s largest telecoms operator by far and is controlled by the family of Mexican billionaire Carlos Slim, the Latin American nation’s richest man.
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