Virgin Mobile USA on Wednesday confirmed that it was in preliminary talks with SK Telecom, over exploring the possible strategic opportunities and over SK Telecom’s struggling MVNO Helio.

In a statement yesterday, Warren, New Jersey based Virgin Mobile stated, “The Company is in "preliminary discussions with SK Telecom to explore possible strategic opportunities. The discussions are in the early stages and that there are no assurances that any transaction will result."
 
SK Telecom, the joint venture partner with Internet service provider EarthLink Inc. in the ownership of Helio in Los Angeles. Helio operates a 3G wireless network in the U.S. as well as post-pay subscription plans and an array of phones called Ocean, Fin and Mysto targeted at younger buyers. Helio is bleeding cash and underwent a management reshuffle and staff retrenchment a few months ago.

Helio has nearly 200,000 subscribers, and Virgin Mobile USA, which specializes in marketing prepaid cellular services to the younger set, has about 5 million customers.