Mobile reportedly makes Sprint new offer in an effort to save merger
- Author: Desiree Holland Nov 05, 2017,
Nov 05, 2017, 1:07
T-Mobile is owned by Deutsche Telekom, and Sprint is owned by SoftBank. However, we have agreed that it is best to move forward on our own. At this point, talk of a merger is between Softbank and Charter, rather than having direct involvement with Sprint. With its hoard of 2.5GHz high-frequency spectrum, Sprint would have been a flawless fit for T-Mobile and its cache of low-frequency airwaves in the 600MHz-700MHz bands. The investment ignited speculation about Son and SoftBank trying to revive merger talks.
Sprint President and CEO and Softbank Board member Marcelo Claure said: "While we couldn't reach an agreement to combine our companies, we certainly recognize the benefits of scale through a potential combination. However, we have been clear all along that a deal with anyone will have to result in superior long-term value for T-Mobile's shareholders compared to our outstanding stand-alone performance and track record", said John Legere, President and CEO of T-Mobile US, Inc. The decision to call off merger talks came after a meeting involving the heads of all four companies, according to The Wall Street Journal. Had T-Mobile and Sprint completed a merger, Reuters says the new company would have claimed more than 130 million subscribers. Sources had originally stated that Sprint made a decision to call off the acquisition because Deutsche Telekom was looking to get the majority of control over the entity resulting from the merger; though some Sprint executives were reportedly okay with this, others allegedly wanted more.More news: Netflix suspends production on 'House of Cards' final season
Sprint parent company Softbank is reportedly chatting up Charter Communications about a possible merger, amid indications that Sprint's merger deal with T-Mobile US has tanked. But with the new Trump administration, it was thought regulators might be more relaxed about a merger.
T-Mobile, on the other hand, is still the fastest growing and most innovative carrier in the states.