US operator Verizon Wireless has offered to divest its mobile assets in 85 US markets in order to secure regulatory approval for its planned US$28.1 billion purchase of smaller rival Alltel. In a letter this week to the Federal Communications Commission, the US regulator, Verizon identified areas where it had overlapping assets with Alltel, including the entire states of North Dakota and South Dakota and areas in 16 more states, including California, Colorado, Georgia and Idaho. The divestures are aimed at soothing the regulator’s concerns over competition and customer choice in these markets. Verizon also promised to honour Alltel’s existing roaming agreements with other operators, most notably Sprint, which uses Alltel as its roaming partner in rural areas.

In a research note cited by Reuters, Stifel Nicolaus analyst Blair Levin named AT&T, Leap Wireless and MetroPCS Communications as companies that could be interested in acquiring the assets. Verizon announced separately this week that it expects the Alltel acquisition to be finalised by year-end. Once complete, the enlarged company will overtake AT&T to become the largest US mobile operator with a combined customer base of over 80 million.