On October 3rd of last year, Deutsche-Telekom announced their plan to have their American subsidiary, and fourth largest American cell carrier, T-Mobile USA merge with the fifth place US cell carrier MetroPCS. Since the announcement, both companies have had to present their cases to various regulatory committees before anything could be finalized, and now that they received FCC approval last week and the go ahead from The Committee on Foreign Investment yesterday, Deutsche-Telekom issued a statement saying that it is now up to MetroPCS shareholders to give the final okay.
A special MetroPCS shareholder vote is scheduled for April 12, and if a majority votes in agreement of the deal, Deutsche-Telekom will be given a 74 percent stake in the combined company. The two largest MetroPCS shareholders however are not completely sold on the merger. Paulson & Co. and P. Schoenfeld Asset Management have come out saying that they are currently opposed to the deal due to accounting discrepancies and the high amount of debt the new company would be starting out with. MetroPCS and T-Mobile are hoping that the remaining shareholders will see the deal differently and vote to approve it.