T-Mobile to Acquire Ka’ena Corporation, Parent Company of Mint Mobile, Ultra Mobile, and Plum
T-Mobile has announced that it will acquire Ka’ena Corporation, the parent company of Mint Mobile, Ultra Mobile, and Plum. The acquisition is set to take place later this year and will allow Mint to retain its current marketing strategy, as well as its most popular $15 USD plan.
Announcement via YouTube Video
The announcement was made via a YouTube video featuring T-Mobile CEO Mike Sievert and Mint Mobile part owner, Ryan Reynolds. The video covered the most important points regarding the acquisition while also keeping it light and humorous, in line with Mint Mobile’s marketing strategy.
Details of the Agreement
The agreement states that the companies in question will continue to have access to T-Mobile’s network, including 5G. However, by acquiring their sales, marketing, digital, and support operations, T-Mobile hopes to leverage its supplier connections and delivery scale to help the companies expand their products to more price-conscious customers in the United States.
As part of its wider portfolio, T-Mobile will also be able to use Mint’s top digital direct-to-consumer marketing skills to expand into new consumer segments and geographies. These marketing strategies have proven to be quite effective so far while handled by Maximum Effort, a marketing firm co-owned by Ryan Reynolds himself and responsible for the campaigns behind the Deadpool movie franchise, Aviation Gin, Match.com and others. T-Mobile CEO Mike Sievert stated:
“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. Over the long-term, we’ll also benefit from applying the marketing formula Mint has become famous for across more parts of T-Mobile. We think customers are really going to win with a more competitive and expansive Mint and Ultra.”
What Changes Can Mint Mobile Subscribers Expect?
As far as what changes Mint Mobile subscribers can expect, we don’t know much at this point other than the promise to keep the current $15 per month pricing plan which includes limitless call and text as well as up to 4 GB of data per month.
To purchase Ka’ena, T-Mobile will pay up to $1.35 billion, split between cash payments (39%) and shares (61%) and contingent upon the company’s financial results. The deal is anticipated to complete later this year, pending the fulfillment of customary closing conditions.