The Wall Street Journal is reporting that Sprint and T-Mobile have agreed on the 'broad terms' to a $32 billion deal, but are still working toward a final agreement. Under the agreement, Sprint would acquire T-Mobile for around $40 a share in a deal that could happen early this summer. The deal could still fall through however.
A deal would face strong opposition from regulators and a lengthy antitrust review, and Sprint would pay T-Mobile more than $1 billion in cash and other assets if it is shot down, the people said.
T-Mobile's largest shareholder, Germany's Deutsche Telekom, would retain a stake of 15% to 20% in the new company, the people said. The deal would be worth around $50 billion including debt, the people said.
A Sprint and T-Mobile deal has been rumored for a while now, and if the two finalize such a deal, it will surely be met with regulatory hurdles, as it would make just three major carriers in the US: AT&T, Verizon and Sprint/T-Mobile.
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A deal would face strong opposition from regulators and a lengthy antitrust review, and Sprint would pay T-Mobile more than $1 billion in cash and other assets if it is shot down, the people said.
T-Mobile's largest shareholder, Germany's Deutsche Telekom, would retain a stake of 15% to 20% in the new company, the people said. The deal would be worth around $50 billion including debt, the people said.
A Sprint and T-Mobile deal has been rumored for a while now, and if the two finalize such a deal, it will surely be met with regulatory hurdles, as it would make just three major carriers in the US: AT&T, Verizon and Sprint/T-Mobile.
Read More