graphic
News > Deals
MCI, Nextel: no deal
May 6, 1999: 6:09 p.m. ET

Acquisition would have linked long-distance carrier with wireless firm
graphic
graphic graphic
graphic
NEW YORK (CNNfn) - MCI WorldCom and Nextel Communications Inc. confirmed Thursday that the companies have terminated merger negotiations.
     Rumors had been swirling for weeks that MCI (WCOM), the No. 2 U.S. long-distance carrier, would seek to gain a presence in the wireless market through an acquisition of Nextel (NXTL).
     Although the companies had never officially confirmed they were involved in merger negotiations, reports surfaced Wednesday that the two companies called off the talks after failing to agree on terms of a deal that analysts speculated would be worth $13.1 billion.
     "After reviewing the possibility of a combination with Nextel Communications Inc., MCI WorldCom has determined not to pursue a bid for the company at this time," MCI said in a statement.
     Although long-distance carriers are increasingly discovering the value in maintaining a foothold in the wireless communications market, analysts said a deal with Nextel would have hurt MCI's earnings in the near term.
     MCI shares fell 5 to close at 84-5/8 in Thursday trade. Nextel shares slipped 3/4 to 35-1/8.Back to top

  RELATED STORIES

MCI WorldCom dials Nextel - April 6, 1999

  RELATED SITES

MCI WorldCom

Nextel


Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney




graphic

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.