Vonage weighs $600M IPO or $2B acquisition

According to a report in The Wall Street Journal, VoIP service provider Vonage is sending mixed signals. The company is considering a $2 billion acquisition deal or an initial public offering (IPO) of stock that could raise as much as $600 million. The report claims Vonage has held initial talks with potential suitors Sprint Nextel and T-Mobile USA. The price tag is an obvious nod to eBay's $2.6 billion acquisition of Skype, which could escalate to $4.1 billion depending on Skype's financial performance. Vonage has reportedly raised more than $408 million in venture capital, with top investors that include Bain Capital, 3i Group and Institutional Venture Partners. Vonage offers consumer VoIP phone services in more than 800,000 US homes. Vonage has yet to comment on the report.

For more on the Vonage IPO/sale:
- read this article from The Wall Street Journal (sub. req.)

FREE DAILY NEWSLETTER

Like this story? Subscribe to FierceWireless!

The Wireless industry is an ever-changing world where big ideas come along daily. Our subscribers rely on FierceWireless as their must-read source for the latest news, analysis and data on this increasingly competitive marketplace. Sign up today to get wireless news and updates delivered to your inbox and read on the go.

Suggested Articles

AT&T has shifted its Cricket prepaid brand to a 100% authorized retailer model, according to Wave7 Research.

The FCC decided to extend the timeline for responding to Huawei's application for review until December 11.

All operators are trying to understand the intersection between their networks and hyperscale networks. But who gets the lion's share of the revenue?