Mint Mobile, the prepaid wireless brand in which Ryan Reynolds holds a minority ownership stake, has been acquired by T-Mobile in a deal worth up to $1.35 billion.
Under the pact, expected to close later this year, T-Mobile will acquire Kaena Corp and its subsidiaries and brands: Mint Mobile, international wireless service Ultra Mobile and wholesaler Plum. T-Mobile said it would be able to “leverage Mint’s industry-leading digital (direct-to-consumer) marketing expertise as part of its broader portfolio to reach new customer segments and geographies.”
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After the deal is complete, Mint Mobile founders David Glickman and Rizwan Kassim will remain at T-Mobile to manage the brands, which will “generally” operate as a separate business unit.
Reynolds will continue in his creative role on behalf of Mint, in which the actor-entrepreneur holds an estimated 25% stake.
“Mint Mobile is the best deal ever in wireless and today’s news only enhances our ability to deliver that to our customers,” Reynolds said in a statement. “We are very pleased that T-Mobile beat out my mom Tammy Reynolds’ aggressive last-minute bid because we believe the excellence of their 5G network provides a better strategic fit than my mom’s slightly above-average mahjong skills. Will do I am very proud of the entire Mint team and very excited for what is to come.
T-Mobile will pay a combination of 39% cash and 61% stock for up to $1.35 billion to acquire Mint Mobile’s parent company, Kaena Corp. The carrier said the actual price to be paid by T-Mobile will be based on Kaena’s performance during certain periods before and after closing and will also be subject to working capital adjustments and other contractual reserves. T-Mobile currently does not expect the transaction to have any impact on the company’s 2023 guidance or its ongoing stock repurchase program.
“Mint has built an incredibly successful digital direct-to-consumer business that continues to deliver for customers on un-carrier-leading 5G networks and now we’re looking to leverage our scale and owners’ expertise to help supercharge it.” Excited to use Economics — and Ultra Mobile — in the future,” T-Mobile CEO Mike Siewert said in announcing the deal.
On social media, Reynolds shared a video produced by his Maximum Effort advertising and production company, which featured Siewert. “It’s nice to have a new dad!” Reynolds screams at the end of the clip after hugging the CEO of T-Mobile.
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