There are no active ads.

Advertisement

Sprint and T-Mobile Said to be Close to a Merger Deal

by Sean P. Aune | June 4, 2014June 4, 2014 3:30 pm PST

sprint-store

It appears that the Sprint/T-Mobile deal is closing in on final terms and we could see a deal set some time this summer.

According to a report from Dow Jones, Sprint and T-Mobile are close to setting the terms on a deal that could be valued somewhere in the neighborhood of $50 billion including debt. The proposal calls for 50 percent of to be handled in stock with the remaining half to be in cash. This would value T-Mobile around $40 a share, and the breakup fee, should the deal not be approved by regulators, is said to be more than $1 billion.

There is no word as to when the two companies could make their deal official, but it does appear as though sometime this summer is the heavy favorite. Even if it was announced tomorrow, however, it will be some time before the government signs off on the merger as it could pose potential harm to the consumer options for mobile services.

T-Mobile closed out the day at $34.28, and is up 1.93 percent in after hours trading. Sprint finished the day at $9.40 and is up 4.26 percent since the closing bell.


Sean P. Aune

Sean P. Aune has been a professional technology blogger since July 2007, but his love of tech dates back to at least 1976 when his parents bought...

Advertisement

Advertisement

Advertisement