Sprint Nextel to acquire AirGate PCS for $4.3 billion
December 15, 2005
Sprint Nextel has agreed to acquire AirGate PCS, Sprint's largest wireless affiliate, for $4.3 billion. This marks the end of a legal battle that began when Sprint acquired Nextel Communications for $36 billion in August 2005. AirGate is owned by Alamosa Holdings and has 1.48 million wireless customers in 19 states in the US. Since the merger, Sprint Nextel has purchased a string of affiliates adding a total of 2.3 million customers. Alamosa had sued Sprint Nextel claiming that the merger violated the terms of an agreement that let AirGate sell Sprint-branded call plans free of competition.
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