Back in December, T-Mobile and nTelos holding proposed that T-Mobilein the Eastern Markets. It was a part of nTelos’ drive to focus more on its Western Markets in Western Virginia/West Virginia.
At the time, nTelos chairman Michael Huber stated that “In an effort to strengthen our retail sales performance and leverage our strategic relationship with Sprint, we are right-sizing our business and redirecting our resources on our Western Markets, which provide us the greatest opportunity for sustained, profitable growth. At the same time, we are exiting markets that have become increasingly competitive and where we have been unable to achieve acceptable financial returns.”
Yesterday, it was announced that this deal has now been completed. Having parted with around $56 million in cash, T-Mobile now owns more PCS spectrum in Hampton Roads, Norfolk and Richmond markets in Virginia. T-Mo will almost certainly use this 1900MHz spectrum to continue its deployment of band 2 LTE in those markets.
nTelos – on the other hand – plans to lease back some of the spectrum, continuing to serve its customers until November, when it will shut down its network. With the cash made from the deal, nTelos will build out more 4G LTE in its Western Markets.
About Cam Bunton
Cam Bunton, Managing Editor. A film school graduate from the University of Cumbria, UK, Cam’s past life was in mobile phone retail. His passion for cell phones got him in to that industry, and then in to this one. A family man with three kids, he somehow manages to balance his work duties with family life and a runaway Twitter addiction. Follow him on twitter: @PhoneDog_Cam