After months of rumors and negotiations, Sprint and T-Mobile may finally be close to reaching a deal that’ll see the former acquire the latter.
Sources speaking to Bloomberg say that Sprint is close to an agreement with T-Mobile on the price and breakup fee of an acquisition deal. During the talks, T-Mobile parent Deutsche Telekom was asking for $40 per share, while Sprint was willing to pay somewhere in the upper $30 range. The two companies have reportedly finally reached a middle ground in their talks.
If Sprint were to pay $39 per share for T-Mobile, it would end up shelling out around $31.3 billion. Sprint reportedly plans to offer 50 percent stock and 50 percent cash for T-Mo.
There’s still quite a bit of work to be done, including setting the management structure of Sprint-Mobile, and there’s no set announcement date quite yet. Still, it sounds like the deal is much farther along than it’s ever been before. Any deal that the two firms do reach will still be subject to regulatory approval, so a combined Sprint-T-Mobile is still far from a done deal, but I’m sure that Sprint and T-Mo are pleased with their progress thus far.
Do you hope that Sprint and T-Mobile merge or would you prefer that they stay separate?
Via Bloomberg
