Mint Mobile, the prepaid wireless brand in which Ryan Reynolds holds a minority ownership stake, has been acquired by T-Mobile in a deal worth up to $1.35 billion.
Under the pact, expected to close later this year, T-Mobile will acquire Ka’ena Corp. and its subsidiaries and brands: Mint Mobile, international wireless service Ultra Mobile and wholesaler Plum. T-Mobile said it will be able “to leverage Mint’s industry-leading digital [direct-to-consumer] marketing expertise as part of its broader portfolio to reach new customer segments and geographies.”
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Following the deal’s close, Mint Mobile founders David Glickman and Rizwan Kassim will remain at at T-Mobile to manage the brands, which will “generally” operate as a separate business unit.
Reynolds will continue on in his creative role as a spokesman for Mint, in which the actor-entrepreneur owns an estimated 25% stake.
“Mint Mobile is the best deal in wireless and today’s news only enhances our ability to deliver for our customers,” Reynolds said in a statement. “We are so happy T-Mobile beat out an aggressive last-minute bid from my mom Tammy Reynolds as we believe the excellence of their 5G network will provide a better strategic fit than my mom’s slightly-above-average mahjong skills. I am so proud of the entire Mint team and so excited for what’s to come.”
T-Mobile will pay up to a maximum of $1.35 billion in a combination of 39% cash and 61% stock to acquire Ka’ena Corp., the parent company of Mint Mobile. The actual price to be paid by T-Mobile will be based upon Ka’ena’s performance during certain periods before and after the closing and is also subject to working capital adjustments and other contractual reserves, the carrier said. T-Mobile does not currently expect the transaction to have any impact on the company’s 2023 guidance or its ongoing stock repurchase program.
“Mint has built an incredibly successful digital direct-to-consumer business that continues to deliver for customers on the Un-carrier’s leading 5G network and now we are excited to use our scale and owners’ economics to help supercharge it — and Ultra Mobile — into the future,” T-Mobile CEO Mike Sievert said in announcing the deal.
On social media, Reynolds shared a video, produced by his Maximum Effort advertising and production company, featuring Sievert. “Nice to have a new dad!” Reynolds exclaims at the end of the clip after he hugs the T-Mobile chief executive.
