What could be one of the biggest deals of late, the USD 40 billion worth merger between the third and fourth biggest telecom companies in the United States, T-Mobile and Sprint, now has one less opponent in its way as the New York attorneys general pulled back their appeal against the court’s approval of the merger. A U.S. Federal judge had earlier this week approved the merger between T-Mobile and Sprint, which attorneys general from many states including New York and California disputed on grounds of antitrust issues.
New York attorney general Letitia James has now said that her office would not appeal against the approval and would rather hope to work in unison with the company in the future. She stated that her office will work hard to ensure there are no unfair pricing imposed on the consumers after the deal is completed. Xavier Becerra, the California attorney general, has still not given up and will still appeal against the decision. Of all the other states involved, Connecticut and Massachusetts confirmed that they will also be appealing the decision, while all other states have refused to give a comment as of now. States have begun focusing on the jobs the merger is creating and have hence started dropping their stance against it.
The almost approved merger of T-Mobile with Sprint has given the company a major boost in the stock market as analysts are now rating it as a company with higher potential than any other. Rather contradicting the stance of state attorneys general, the analysts believe that the merger would make the telecom industry more competitive as Dish Inc. is expected to be a stronger competitor than Sprint. The UBS price target for T-Mobile was up 1.1 percent to a market high of USD 112.