Ryan Reynolds' business acumen shines again with $1B company sale
T-Mobile announced its plans to acquire the famous actor Ryan Reynolds' budget-friendly mobile virtual network operator firm, Mint Mobile. Reynolds and T-Mobile's CEO, Mike Sievert, shot an entertaining video to officialize the process and let the fans know.
T-Mobile is not only acquiring Mint Mobile but its parent company, Ka'ena Corporation. The acquisition includes two other subsidiaries apart from Mint Mobile; the wireless service offering international calling options to communities across the country Ultra Mobile and wholesaler Plum.
The company will pay up to a maximum of $1.35 billion to complete the sale, split into 39$ cash and 61% stock. Both parties have agreed to close the deal, which is expected to be finalized later this year. However, the price may change according to Ka'ena's performance during certain periods.
T-Mobile is looking to use Mint's D2C marketing expertise to reach new customer segments and geographies. "The Mint and Ultra brands are complementary to the company's current prepaid service offerings Metro by T-Mobile, T-Mobile branded prepaid, and Connect by T-Mobile."
Ryan Reynolds saw the opportunity in 2019
Mint Mobile was founded back in 2015, but Ryan Reynolds joined the board of directors in 2019 after buying a 20-25% ownership stake. The company offers one of the cheapest services, and T-Mobile is willing to continue its $15 per month pricing option. Mint offers 4GB of high-speed 4G or 5G internet paired with unlimited text and talk. The acquisition includes all departments of Mint, including sales, marketing, and operations, which T-Mobile will use to continue its growth.
"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. 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," said Mike Sievert.
Mint's founders David Glickman and Rizwan Kassim, will remain on board to manage the brands as a separate unit. On the other hand, Ryan Reynolds will also continue his creative role on behalf of Mint.
Apart from his roles in famous films like Deadpool, Ryan Reynolds is also known for successful business moves. In 2020, the actor sold Aviation Gin to Diageo for $610 million.Advertisement