SK Telecom to sell stake in U.S. cellphone carrier Virgin Mobile

SEOUL, July 29 (Yonhap) -- South Korea's top mobile carrier SK Telecom Co. said
Wednesday it will sell all of its stake in Virgin Mobile USA Inc. after the
parent company of the U.S. mobile firm acquires it.

SK Telecom holds a 15.3 percent stake in Virgin Mobile, a joint venture between
Virgin Group of Britain and Sprint Nextel Corp. of the U.S. On Tuesday, Sprint
Nextel announced it will buy Virgin Mobile USA Inc. for US$483 million and merge
it.
After the completion of the merger, SK Telecom said it is likely to be offered a
0.53 percent stake in Sprint Nextel, adding the two companies still have to agree
on the sale price.
SK Telecom said it expects the merger to be completed at the end of this year or
by early next year.
"We plan to sell the stake as it has no strategic value to us any more," an SK
Telecom official said.
SK Telecom acquired the interest in Virgin Mobile in June 2008 when it sold its
ailing U.S. unit Helio to the company.
SK Telecom launched Helio in 2006 as a joint venture with U.S. Internet service
provider EarthLink. It had been swamped in the red due to its failure to lure
U.S. customers.
ygkim@yna.co.kr
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