NEW YORK-The volatile equity markets have created turbulence for Sprint PCS affiliates that have gone public recently or plan to in the near future.
Late June 1, UbiquiTel Inc., Bala Cynwyd, Pa., postponed its initial public offering, which now is tentatively scheduled for the week of June 5.
Early June 1, UbiquiTel lowered the expected price range on the deal for the second time in just over two weeks. The anticipated range now is $8-10, down from the $12-$14 planned as of May 15. Originally, UbiquiTel had filed to go public with an offering priced between $13 and $15 per share.
However, the wireless operator also filed May 15 to increase the number of shares in its planned IPO to 14.5 million from the 12.5 million initially anticipated.
Another Sprint PCS affiliate, US Unwired Inc., Lake Charles, La., squeaked through its IPO May 18, with an 8-million-share offering. It priced at $11 each, $2 below the low end of the expected range of $13-$15. US Unwired’s stock closed June 1 at $10.94.
And on May 22, yet another Sprint PCS affiliate, Horizon PCS Inc., Chillicothe, Ohio, filed for an IPO it hopes will raise $125 million. The company has not yet posted an expected number of shares or share price range.
Amid these storm clouds, there is some sunshine, at least for the first two Sprint PCS affiliates to tap the public equity markets.
Stockholders of AirGate PCS Inc. authorized May 26 an increase in the number of outstanding shares to 150 million from 25 million. AirGate went public in late September at an opening price of $17 per share. Its stock closed June 1 at $35.60, and has gone as high as $114.50 and as low as $23.
Alamosa PCS Holdings also debuted at $17 per share when it sold its IPO in early February. Its stock has traded as high as $43.62 and as low as $14. However, the company’s shares closed June 1 near their all-time low to date, at a price of $15.66.
