MetroPCS shareholders have approved the merger with T-Mobile. The deal had been enhanced by T-Mobile owner Deutsche Telekom, lowering the size and interest rate of a loan to the joint company.
The deal gives Deutsche Telekom a 74 percent stake in the merged entity and MetroPCS shareholders a $1.5 billion cash payment. Meanwhile, this enhanced T-Mobile will be exchange-listed and Deutsche Telekom will be barred from selling shares on the market for 18 months.
The deal cuts the shareholder loan to $11.2 billion from $15 billion and trims the interest rate by half a percentage point. It importantly won the endorsement of MetroPCS’s largest investor, Paulson & Co., as well two shareholder-advisory firms in the run-up to the vote.