Will mid-sized rural carriers be on the block for sale? That’s the speculation after the $27.5 billion acquisition of Alltel Corp., the fifth largest wireless provider in the United States, by two private equity firms. Telecommunications Industry News is reporting that this buyout is giving rise to speculation that other regional mobile carriers could be bought up as well. The article suggests that a buyout of a nationwide carrier, such as Sprint Nextel is far less likely but remains a possibility as well. In the meantime the industry looks to be poised for a buyer’s market, with a variety of mid-sized carriers, including Dobson Communications and Rural Cellular Corp, among potential candidates for future private equity purchases.
Alltel Buyout Could Trigger Additional Wireless Acquisitions [Telecommunications Industry News]