ARLINGTON, Va.-Shareholders of AT&T Wireless Services Inc.’s two largest affiliates, TeleCorp PCS Inc. and Tritel Inc., approved the merger of the two companies at special meetings.
In a concurrent transaction, TeleCorp and AT&T agreed to exchange wireless properties that the companies hope will improve their respective service areas. In addition, AT&T has agreed to contribute rights to acquire additional wireless properties and a two-year extension of the AT&T brand-sharing agreements as part of the merger.
Including the merger with Tritel, the combined transactions will result in a new entity called TeleCorp PCS Inc., with licensed service areas covering 35 million people in 14 states and the Commonwealth of Puerto Rico.
“Over 99 percent of our shareholders voted in favor of the merger,” said Gerald Vento, chairman and chief executive officer of TeleCorp. “We’re pleased that our shareholders recognize the value we intend to create through this merger. With our valuable markets, contiguous networks and experienced management teams, we not only gain economies of scale and a stronger affiliation with AT&T Wireless Services, but we also significantly strengthen our position in the competitive wireless marketplace.”
The merger is expected to be completed during the fourth quarter.
