Wifi Revolution

U.S. rural mobile service provider Alltel (News - Alert) Corp. has unveiled a new management structure as it prepares to be purchased by private equity investors.

TPG Capital, formerly Texas Pacific Group, and GS Capital Partners, a subsidiary of Goldman Sachs, are buying out Alltel for $24.7 billion.

The company, which said its deal should close Nov. 16, announced group president of shared services Jeffrey Fox, will become chief operating officer at the close of the deal. Fox will report to Scott Ford, who will remain as president and chief executive officer.

Also reporting to Ford will be Rick Massey, in a new role as chief strategy officer while continuing as general counsel; C.Z. Duvall, executive vice president of human resources; and Sharilyn Gasaway, executive vice president and chief financial officer, the company said in a statement.

Kevin Beebe, currently group president of operations, has accepted a role as consultant to Alltel and TPG and GSCP. In his new role, Beebe will work with both firms on their current portfolios and new investment possibilities.

“This structure will ensure that Alltel continues to build momentum in the marketplace as we enter a new phase in our history,” Ford said.

Alltel operates America’s largest rural wireless network, delivering voice and advanced data services to over 12 million customers.

Alltel said recently that it would incur up to $5.2 billion in senior unsecured debt related to its takeover by private equity investors.

The proceeds, Alltel said, would be used to finance the merger, repay or refinance certain existing debt and pay fees and expenses connected to the merger.

Interestingly, Alltel is said to be taking part in the coming January 24 auction of the wireless spectrum, which will provide room for companies to expand their offerings.

 

 

 

Back to WiFi Revolution home