AT&T Inc’s USD1.875 billion acquisition of Nextel Mexico edged another step closer this week, after Judge Shelley Chapman at the US Bankruptcy Court in Manhattan signed off on the sale of Nextel’s assets on Monday 23 March. According to Dow Jones, which cites court filings, no competing bidders emerged to challenge AT&T’s initial offer. Cash-strapped Nextel owner NII Holdings filed for relief under Chapter 11 of the US Bankruptcy Code back in September 2014.
As previously reported by TeleGeography’s CommsUpdate, Judge Chapman initially approved AT&T’s takeover in February, but competing bidders had until 17 March to up the ante and submit a rival offer. Anyone wishing to challenge AT&T ’s offer was obliged to put down a ‘good-faith deposit’ of USD32 million, which would have gone to AT&T if the telecoms giant was trumped in any subsequent auction. Outside of bankruptcy court, the sale also needs to win the approval of Mexican regulator Instituto Federal de Telecomunicaciones (Ifetel).