AT&T to pay $320 million for Convergys assets

AT&T will buy Convergys Corp's interests in two wireless operations in the Cincinnati, Ohio area for about $320 million in cash.

The purchase, which Convergys said does not need regulatory nods because AT&T already controls the operations, comes at a time when the wireless carrier is in a battle with regulators and competitors to gain support for its proposed $39 billion deal with T-Mobile USA. Convergys, which announced the deal on Thursday, holds a 34 percent stake in Cincinnati SMSA and a 45 percent limited-partnership interest in Cincinnati SMSA Tower Holdings, both of which it got when it spun-off from Cincinnati Bell in December 1998. AT&T holds the rest of both operations. Cincinnati SMSA is a wireless communications provider, while Cincinnati SMSA Tower Holdings is a cellular tower holding company for Cincinnati SMSA.