Largest MetroPCS Shareholder Angry at Being Called "Greedy"
Paulson & Co., holder of 9.9% of MetroPCS stock, issued a press release today stating it "strenuously objects" to T-Mobile USA CEO John Legere's characterization of it and other of the carrier's shareholders "as greedy because they believe the current terms of the merger are poor for MetroPCS shareholders.
Legere was asked at a T-Mobile event on Tuesday about the prospects of his company's proposed merger with MetroPCS. "It will be approved," he answered, "despite the greedy hedge funds that are trying to take a double-dip out of that process."
Paulson's response to that in its press release was to remind "MetroPCS shareholders that John Legere owns no MetroPCS stock, wants the best deal for T-Mobile/Deutsche Telekom, not MetroPCS, and is the wrong person to comment on the interests of MetroPCS shareholders."
Paulson continued: "If anyone is being greedy here, it is Deutsche Telekom by stripping out $15 billion of senior debt at above market rates and terms for themselves before the pro forma shareholders get anything. ... It is not surprising that Deutsche Telekom is so eager to close this deal, as they get the lion's share of the benefits."
Deutsche Telekom is the parent company of T-Mobile USA.
The article Largest MetroPCS Shareholder Angry at Being Called "Greedy" originally appeared on Fool.com.Fool contributor Dan Radovsky and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.