Wireless carrier MetroPCS (NASDAQ:TMUS) announced yesterday that it has cleared the required waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 in connection with its proposed merger with T-Mobile USA, a wholly-owned subsidiary of Deutsche Telekom.
This 30-day window is when regulators have the opportunity to object to any proposed merger, so the lack of any response from the Department of Justice during this time frame signals its approval.
But the merger is still not certain, as additional layers of regulatory approval still remain. The Federal Communications Commission and Committee on Foreign Investment must sign off on the proposed deal before it can go through. MetroPCS shareholders must also vote on the deal. The board unanimously recommends investors vote in favor of the deal.
The deal already faces opposition from at least one large shareholder, Paulson & Co., which owns a 9.9% stake in MetroPCS.
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