Verizon beats AT&T for 5G spectrum holder Straight Path

United States —

Verizon Communications will acquire 5G spectrum holder Straight Path Communications for $184 a share, with an enterprise value of $3.1 billion, the companies announced Thursday morning.

In early April, AT&T announced plans to acquire Straight Path Communications which holds a nationwide portfolio of millimeter wave (mmWave) spectrum, including 39 GHz and 28 GHz licenses for $1.6 billion. But Verizon jumped in, and ultimately offered nearly twice the price AT&T was willing to pay. Verizon will pay a $38 million termination fee on behalf of Straight Path to AT&T.

“Verizon now has all of the pieces in place to quickly accelerate the deployment of 5G,” Hans Vestberg, president of global network and technology at Verizon, said in a statement.