The U.S. Justice Department gave Verizon Wireless the nod to buy Alltel in a $28 billion deal that would create the nation's largest wireless carrier.

The deal between Verizon, and  Britain's Vodafone already has agreed to the government's condition that it flog off  assets in 22 states to allow the merger with Alltel. The deal has to be approved by the FCC next week, but with DoJ approval it is fairly likely to go ahead.

Originally, the DoJ joined seven states in a lawsuit to block the merger, but also filed a proposed settlement that would require Verizon Wireless to divest assets in 100 markets. Under terms of the deal, Verizon Wireless will buy Alltel for $5.9 billion.  It will take on $22.2 billion of Alltel debt.

It will sell assets in 100 areas, including holdings in the entire states of North Dakota and South Dakota and large portions of Colorado, Georgia, Kansas, Montana, South Carolina, Utah and Wyoming. Verizon also must sell assets in Alabama, Arizona, California, Idaho, Illinois, Iowa, Minnesota, Nebraska, Nevada, New Mexico, North Carolina, Ohio and Virginia.

However, the combined outfit will have about 78 million subscribers nationwide and be the biggest wireless company in the U.S.