Leap Wireless International Inc., which sells the Cricket prepaid mobile-phone service, was sued by a shareholder contending the company is undervalued in a $1.2 billion buyout offer from AT&T Inc.
Leap Wireless International Inc. is now left to fend for itself as the combination of MetroPCS Communications Inc. and T-Mobile USA damps takeover prospects for the unprofitable wireless carrier.
Leap Wireless International Inc. fell after Collins Stewart LLC cut its rating on the pay-as-you- go wireless provider, citing increased competition and little chance of a sale to AT&T Inc.
Sprint Nextel Corp.’s shares are so battered after AT&T Inc.’s $39 billion offer for T-Mobile USA that investors are valuing the third-largest U.S. mobile phone carrier at a discount to its net assets.
Sprint Nextel Corp. asked regulators to deny AT&T Inc. ’s proposed purchase of T-Mobile USA Inc. , saying the $39 billion deal would decrease competition and raise consumer prices.