TracFone plans to file for arbitration of the $84 billion takeover of AT&t, a move that could lead to a massive class-action lawsuit.
The company’s CEO and CFO, Fred Smith, have said they expect the deal to close in the first quarter of 2018.
The new deal would allow Trac to sell off some of its assets, including wireless, telecom and retail businesses.
But that could mean the company could lose a lot of money.
Smith has also said he thinks the merger will be approved by the board of directors.
The board will vote to approve the deal after the close of the board meeting at 5:00 p.m.
Smith said the board would also vote to take legal action to prevent the deal from going through, including seeking a restraining order to prevent it from going forward.
In an interview with ABC News, Smith said, “If they can get the board to do it, we would like to do so.”
Smith said that if the board votes to approve, it could take years for Trac’s remaining assets to be liquidated.
Smith did not elaborate.
AT&T and Trac said in a joint statement Friday that the deal will not affect the company’s financials or future operations.
AT & T has been in discussions with Trac about a possible merger, and the two sides are “convinced that this transaction will be favorable to both sides,” AT&&.t said.
AT-T has said the merger could be completed by the end of 2018 or early 2019.
AT and T did not immediately respond to requests for comment from The Associated Press.