Verizon Buying TracFone Wireless for Up to $6.9 Billion

  • Largest U.S. carrier expands as it faces the new T-Mobile
  • Seller America Movil rises 4.5% after deal announcement
TracFone Acquisition a 'Great Opportunity': Verizon's Dunne
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Verizon Communications Inc. agreed to buy TracFone Wireless Inc. from America Movil SAB for as much as $6.9 billion, as the largest U.S. wireless carrier seeks to expand its mobile business into the so-called prepaid market.

Verizon will pay $3.125 billion in cash and $3.125 billion in stock, with as much as $650 million additional tied to performance goals, it said in a statementBloomberg Terminal Monday. TracFone, a U.S. prepaid mobile service, is a subsidiary of billionaire Carlos Slim’s Mexico-based wireless carrier. It’s the largest U.S. prepaid service, with 21 million subscribers.