In a deal allegedly worth $1.35 billion, T-Mobile is buying Ka’ena Corporation, the organization behind MVNO carriers Mint Mobile and Ultra Mobile. 39% of the purchase price will be paid in cash, and 61% in shares. The transaction, which is anticipated to conclude later this year, will be based on how Ka’ena Corporation performs in the upcoming months as well as other contractual reserves.
The sales, marketing, digital, and support divisions of Mint and Ultra Mobile as well as wholesale wireless solutions provider Plum are all being acquired by T-Mobile. Through T-Mobile’s established supplier and distribution network, it is hoped to improve both MVNOs and expand the reasonably priced market to more US consumers. The well-liked $15 monthly option from Mint will remain.
According to the T-Mobile press release, Mint Mobile will carry on as a separate business unit moving forward. While part-owner Ryan Reynolds will continue to serve as Mint Mobile’s creative director, the company’s founders David Glickman and Rizwan Kassim will join T-Mobile as brand managers.
Mint has built an incredibly successful digital direct-to-consumer business that continues to deliver for customers on the Un-carrier’s leading 5G network and now we are excited to use our scale and owners’ economics to help supercharge it and Ultra Mobile into the future. – T-Mobile CEO Mike Sievert
Here is a video in which Ryan Reynolds, the owner of Mint Mobile, and T-Mobile CEO Mike Sievert discuss the agreement in greater depth.