NEW YORK Feb 25 MetroPCS Communications Inc
on Monday set a special shareholders meeting for March
28 to vote on its proposed merger with T-Mobile USA, which some
activist investors are looking to block.
MetroPCS agreed on Oct. 3 to merge with Deutsche Telekom
AG's U.S. business, but some shareholders have
complained the deal does not value MetroPCS highly enough.
P. Schoenfeld Asset Management LP, which holds about 7.5
million MetroPCS shares, said on Feb. 7 that it intends to vote
against the deal due to the valuation and the debt levels that
come with it. Since then, it has been looking for support from
A week later, Paulson & Co, which holds 8.7 percent of
MetroPCS shares, criticized the deal and said "it may be more
prudent for PCS to remain independent and explore other higher
While Paulson said the firm had not yet made a final
decision on how it would vote, it said P. Schoenfeld's arguments
made "a lot of sense."
MetroPCS shares were unchanged at $9.95 on the New York
Stock Exchange on Monday. The stock has risen since investors
started complaining publicly but was still below $11.52, the
level on Oct. 1, the day before it emerged that MetroPCS was in
talks with T-Mobile USA.