CNBC: Verizon in talks to buy Alltel for $27 billion.

[Seeking Serenity]

Source: Arkansas Business

CNBC is reporting that Verizon in talks to buy Alltel Corp. of Little Rock for $27 billion.

Verizon and Alltel would not comment for CNBC's story, which quoted "people close" to the buyout talks.

"Sources told CNBC that the sponsors are willing to sell only six months after they closed the deal because they'll get a slight premium to their equity investment, and there is a broad desire within private equity these days to generate a return when one is available.

"While the premium for the equity may be slight, given the enormous leverage in the deal, the returns would seem to be good ones for TPG and Goldman."



Read more: http://arkansasbusiness.com/article.aspx?lID=64&sID=65&ms=83&cID=ZZZ&aID=105746.20500.117872

[Mountainman]

1. It's wonderful how deregulation brings us more competition. Let the markets rule!

:sarcasm:

Did regulation ever prove to be good for the consumer?

[MasonJar]

2. Verizon is one of the Bush spy enablers.

[On the Road]

3. Heh Heh

Little Alltel is the company running all those sophomoric TV ads depicting their competitors as a bunch of hapless geeks. Verizon obvious has taken the approach: "OK, Ace. How bout we just BUY you?" (As a Verizon employee, I have to say that the only thing more annoying that you "can you hear me" guy is the Alltel spokesman.)

Seriously, I think this is about market share. When SBC bought AT&T, they leapfrogged over Verizon to become the #1 wireless carrier domestically. Alltel has about 16% market share and is growing rapidly. This is a good acquisition.

[Seeking Serenity]

4. It's official

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x3339800

Alltel was just bought out by that equity firm, what, six months ago?

I've heard of flipping houses, but flipping corporations?