T-Mobile’s MetroPCS Merger Opponents Gaining Traction

Opposition to T-Mobile’s merger with MetroPCS Communications is gaining momentum leading up to a vote after two of three shareholder advisory firms recommended blocking the deal.

P. Schoenfeld Asset Management LP, a MetroPCS investor that has led a challenge to the deal, scheduled a webcast for April 4 to explain its position to other shareholders in the wireless carrier. Institutional Shareholder Services and Glass, Lewis & Co. came out against the transaction last week, while Egan-Jones Proxy Services was in favor. The decisions put more pressure on T-Mobile parent Deutsche Telekom AG to offer better terms than the current proposal. MetroPCS shareholders are being asked to approve a reverse merger creating a publicly traded company 74 percent owned by the German phone carrier.