In what will be a game changer for the telecommunication field, Sprint and T-Mobile agreed today on $32 Billion deal.
[Deal Book via David Gelles Excerpt]
–“Sprint would pay about $40 a share in cash and stock for T-Mobile, about a 17 percent premium to Wednesday’s price, according to the preliminary agreement.
After the deal, Deutsche Telekom, the majority owner of T-Mobile, would own about 20 percent of the merged entity. Deutsche Telekom currently owns about 67 percent of T-Mobile
The deal is sure to face regulatory scrutiny, and the early terms of the deal would include a breakup fee of more than $1 billion that Sprint would pay T-Mobile if the deal is not consummated.
An announcement is still a ways off. The two sides have not conducted due diligence on one another, drafted a definitive agreement or arranged financing. A deal could be announced in July, but could come as late as August.
Bloomberg and The Wall Street Journal earlier reported that the companies had agreed on deal terms.”–
Product Of Society 