TracFone completes acquisition of Page Plus
América Móvil’s U.S. subsidiary TracFone Wireless has completed the acquisition of the Start Wireless Group, better known as Page Plus Cellular. Only few days ago, the deal, initially announced in May 2013, has been approved by the Federal Communications Commission and the Department of Justice. América Móvil hasn’t revealed any further information related to the acquisition except that at the time of the purchase Page Plus had around 1.4 million customers.
Page Plus Cellular is using Verizon network to provide prepaid service plans for talk, messaging and data. Founded in 1993, they grew to be known for reputable customer service, U.S. based. However, now that TracFone owns Page Plus, it may be the same situation as with T-Mobile MVNO Simple Mobile, acquired by TracFone in May 2012. Even though Simple Mobile has enhanced its service by providing more data and including LTE in its offerings, still customer service under TracFone is something that customers have been complaining about.
The short América Móvil’s press release includes:
“Mexico City, Mexico, January 16, 2014 — América Móvil, S.A.B. de C.V. (“AMX”) (BMV: AMX; NYSE: AMX; NASDAQ: AMOV; LATIBEX: XAMXL), announced today that its subsidiary Tracfone Wireless, Inc., has completed the acquisition of substantially all of the assets of Start Wireless Group, Inc. (commonly known as “Page Plus”), a mobile virtual network operator (MVNO) in the United States, that provides service to approximately 1.4 million customers and offers, among others, prepai plans for voice, messaging and data.
AMX is the leading provider of wireless services in Latin America. As of September 30, 2013, it had 265.1 million wireless subscribers and 68.3 million fixed revenue generating units in the Americas.“