Verizon Communication Inc. [NYSE: VZ] declared that it penned down a deal with America Movil to purchase Tracfone for $6.25B. The companies came to terms when Verizon agreed to pay $3.125B in cash and $3.125B in stock. Verizon is a telecommunication company that assists in wireless services. Tracfone is the biggest value mobile supplier in the United States. Furthermore, it is at the top in the resale of wireless services serving nearly up to 22M people.
Verizon cleared the federal trade commission antitrust to acquire Tracfone. The companies have been partners for the long term and nearly around 13M members of Tracfone depend upon Verizon’s wireless services. The procurement will deliver boosted access to Verizon’s wireless networks, mobility products, and services to a new client medium. Verizon also aims to conduct its leading telecommunication services 4G and 5G to Tracfone clients to facilitate in expanding its supply networks.