In a 180 degree turn, proxy advisory firm Glass Lewis is now recommending to its MetroPCS Communications shareholders to approve the wireless service provider's merger with T-Mobile USA. This is in light of the new and improved terms provided by T-Mobile USA's parent firm Deutsche Telekom AG, according to a report from the Wall Street Journal.
Deutsche Telekom AG has improved its terms for the merger last April 10 after it had reduced the proposed debt load of the merged company in response to stiff criticism from shareholders and advisory firms Glass Lewis and ISS.
According to Glass Lewis, "Deutsche Telekom revised offer adequately resolves the prior concerns that we and MetroPCS shareholders have voiced regarding the proposed merger."
If the deal is approved by shareholders during the special meeting on April 24, MetroPCS shareholders would be receiving US$4.06 per share in cash plus stock equivalent to 26% of the combined company. The remaining 74% would be owned by Deustche Telekom.
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