Verizon Communications Inc has made an offer to acquire Wind Mobile, a Canadian telecom startup. This was according to three sources familiar with the deal said on Wednesday. Same sources added that Verizon is also in discussions to purchase Mobilicity as it looks to challenge three big wireless companies in Canada.
A tentative offer of US$600 million to US$800 million for Wind Mobile was proposed by Verizon. The final pricing of the offer is subjected to due diligence. This was stated by a source having knowledge of the proposal. Another source said that Verizon is discussing acquisition plan with rival startup Mobilicity.
Verizon Communications Inc is looking to boost its growth prospects by reentering the Canadian market. In 2004, the US telecom leader Verizon sold its minority stake in Telus Corp. Sources spoke with the condition of anonymity as talks were not authorized to be set out to the media.
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