AT&T Is Buying Oklahoma-Based Carrier

AT&T, the wireless carrier, agreed on Friday to acquire the rural wireless provider Dobson Communications Corporation for $2.8 billion in cash.

The offer of $13 a share adds about 1.7 million customers to AT&T’s nearly 62 million at a time when some analysts have questioned how much larger carriers can grow in a wireless market that is saturated.

The offer represents a 17 percent premium over Dobson’s $11.11 closing price on Friday. Including debt, the deal is worth about $5.1 billion.

Dobson, based in Oklahoma City, does business under the Cellular One brand in rural and suburban markets in 17 states and has provided roaming services to AT&T since 1990.

The chief executive of AT&T, Randall L. Stephenson, who took over for Ed Whitacre Jr. this month, has said AT&T will be a wireless-centered company going forward. The announcement of the deal came at the close of Mr. Stephenson’s first board meeting as chief executive.

Patrick Comack, an analyst for Zachary Investment Research, said he was surprised by an acquisition announcement so soon after Mr. Stephenson’s move to the top job. AT&T is still completing its integration of the BellSouth Corporation and the old AT&T long-distance business.
Source : http://www.nytimes.com