Breaking News

Tweet TWEET

Brightpoint Jumps on FreedomPop Distribution Deal

Brightpoint Inc. (CELL), a distributor of mobile devices for phone companies, rose the most in more than 16 months after announcing a servicing agreement with discount wireless-provider FreedomPop.

Brightpoint advanced 7.4 percent to $5.63 at 12:56 p.m. in New York, after earlier jumping 18 percent for the biggest intraday gain since February 3, 2011. Shares of the Indianapolis-based company had declined 51 percent this year through yesterday.

The agreement lets Brightpoint handle inventory management, logistic services and transportation management for closely held FreedomPop, the companies said in a statement today. Financial terms weren’t disclosed.

FreedomPop, which is funded by Skype Technologies SA founder Niklas Zennstrom, has said it plans to offer consumers as much as 1 gigabyte of free wireless data connections this year through a wholesale agreement with Clearwire Corp. (CLWR)

CELL US <Equity> CN

NI CAB NI MED NI TVNEWS NI INTERNET NI TEL NI TLS NI WRLS NI TX NI US NI COS NI NET

To contact the reporter on this story: Scott Moritz in New York at smoritz6@bloomberg.net

To contact the editor responsible for this story: Nick Turner at nturner7@bloomberg.net

Bloomberg reserves the right to edit or remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.