Reported by Star-Bulletin staff & wire
Wednesday, May 19, 1999
Bell shareholders OK GTE takeover
ATLANTA -- Bell Atlantic Corp. shareholders approved the No. 1 U.S. local phone company's acquisition of GTE Corp. for $80.9 billion, as the two companies seek to become the largest U.S. phone company.At a shareholder meeting in Atlanta today, Bell Atlantic said investors holding 64 percent of its outstanding shares voted for the transaction. Shareholders of GTE, the parent of Hawaiian Tel, approved the sale yesterday. The combination faces a more challenging hurdle at the Federal Communications Commission, where phone company mergers are receiving tough scrutiny.
New York-based Bell Atlantic and Irving, Texas-based GTE need approval from the FCC and regulators in about 12 states, including Hawaii. The state Office of Consumer Advocacy has filed an objection to the merger as is and has asked the Public Utilities Commission to impose conditions if the panel approves the acquisition. Among conditions sought are that the PUC require any benefits and savings from the merger be shared with GTE customers in Hawaii. Several local competitors of GTE also have asked the PUC to impose conditions on the basis the merger is anti-competitive.
EToys raises price of stock offering
WASHINGTON -- EToys Inc. said today that it raised the price range of its pending initial public offering of stock to $18 to $20 a share from $10 to $12 a share. The Santa Monica, Calif.-based company is an online seller of children's products, including toys, video games, software, videos and music.
Tyco pays $3 billion for Raychem Corp.
HAMILTON, Bermuda -- Tyco International Ltd., the No. 1 maker of electronic components, will buy Raychem Corp. for $3.27 billion in cash, stock and assumed debt, gaining wiring, tubing and other products to sell with its connectors. Tyco will pay about $1.4 billion in cash, issue 16.1 million shares and assume about $400 million in debt for Raychem. The offer values Raychem shares at $37 each, a 19 percent premium to yesterday's closing price.