Kris Carlon / Android Authority
TL;DR
- T-Mobile has closed a deal to acquire the Ka’ena Corporation and its brands Mint Mobile, Ultra Mobile and Plum.
- The deal could be as high as $1.35 billion, but the actual price will be determined by Ka’ena’s performance.
- Co-owner Ryan Reynolds will continue in his creative role at Mint Mobile.
The carrier best known for its prepaid mobile services and its affiliation with actor Ryan Reynolds – Mint Mobile – is under new management. T Mobile has closed a deal to acquire Mint Mobile’s parent company, which could total up to $1.35 billion.
Wednesday T-Mobile announced her plans to take the Ka’ena Corporation under her wing. With the deal, all of Ka’ena’s brands, including Mint Mobile, Ultra Mobile and Plum, will now be part of T-Mobile. However, T-Mobile and Ka’ena remain largely separate entities.
The move to acquire Mint Mobile and Ultra Mobile – carriers already running on T-Mobile’s network – is designed to help T-Mobile build out its own prepaid offering. The deal could be worth up to $1.35 billion, which T-Mobile is willing to pay with “a combination of 39% cash and 61% stock.” However, the actual cost will depend on Ka’ena Corporation’s performance before and after closing the deal.
Regarding the deal, co-founder and CEO of Mint, Ultra and Plum, David Glickman, had this to say:
Our brands have thrived on the T-Mobile network, and we’re excited that this agreement will take them even further, bringing the many benefits of 5G to even more Americans. This transaction confirms our lightning fast success and will unite two proven innovators committed to doing things differently in the wireless industry.
Once the deal closes, both Mint Mobile founders – David Glickman and Rizwan Kassim – are expected to stay and manage the brands. As for co-owner Ryan Reynolds, he is expected to retain his current creative marketing role as spokesperson for Mint Mobile.
Will this acquisition affect Mint, Ultra or Plum’s current plans? Looks like we’ll have to wait and see what happens.