Sprint: to merge with T-Mobile US to create mobile giant
(CercleFinance.com) - Over the weekend US mobile phone operators T-Mobile US and Sprint Corporation announced a definitive agreement to merge in an all-stock transaction worth 146 billion dollars.
The providers said that the deal will help them to deploy a 5G network faster than either company could have done separately.
The combined entity - which will be called T-Mobile - plans to invest up to 40 billion dollars in its new network and business in the first three years alone.
This is 46% more than T-Mobile and Sprint spent altogether in the past three years
The deal is expected to generate run-rate cost synergies of over six billion dollars, representing a net present value (NPV) of over 43 billion dollars net of expected costs to achieve such cost synergies.
The transaction is expected to close by the end of the first half of 2019.
It is based on an enterprise value of approximately 59 billion dollars for Sprint and 87 billion dollars for T-Mobile.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The providers said that the deal will help them to deploy a 5G network faster than either company could have done separately.
The combined entity - which will be called T-Mobile - plans to invest up to 40 billion dollars in its new network and business in the first three years alone.
This is 46% more than T-Mobile and Sprint spent altogether in the past three years
The deal is expected to generate run-rate cost synergies of over six billion dollars, representing a net present value (NPV) of over 43 billion dollars net of expected costs to achieve such cost synergies.
The transaction is expected to close by the end of the first half of 2019.
It is based on an enterprise value of approximately 59 billion dollars for Sprint and 87 billion dollars for T-Mobile.
Copyright (c) 2018 CercleFinance.com. All rights reserved.