Dish Network nearing US$6 billion deal for T-Mobile-Sprint assets: Bloomberg
REUTERS: Satellite TV provider Dish Network Corp is in talks to buy the wireless assets of T-Mobile US Inc and Sprint Corp for at least US$6 billion, Bloomberg reported on Tuesday, citing people familiar with the matter.
Dish could announce a deal as soon as this week for assets including wireless spectrum and Sprint’s Boost Mobile brand, the Bloomberg report said, adding that it hasn’t been finalized and talks could still fall through.
The U.S. Justice Department had wanted Sprint and T-Mobile to sell off additional assets including some wireless spectrum to create a new wireless competitor before agreeing to approve their US$26.5 billion merger. A DOJ decision on the merger is expected this week.
Last week, Reuters reported that private equity group Apollo Global Management was in talks with Dish to finance a bid for the assets.
Dish has stockpiled wireless spectrum, or airwaves that carry data, and is facing a deadline next year to build a network that fulfils the license requirements or risk losing the license.
The company, controlled by founder Charlie Ergen, met with the Federal Communications Commission on June 11 to discuss the impact of the merger on its plans to enter the wireless market, according to a regulatory filing.
The DOJ declined to comment, while Sprint had no immediate comment. Dish and T-Mobile did not immediately respond to a request for comment.
Shares of Sprint were up 2.4per cent and T-Mobile 1per cent, while those of Dish were up marginally.
(Reporting by Vibhuti Sharma and Sayanti Chakraborty in Bengaluru; Editing by Arun Koyyur)