T-Mobile and Sprint have made significant progress in ironing out merger terms, according to Reuters. T-Mobile and Sprint have made a “major breakthrough” on a merger between them.
SoftBank, Sprint’s parent, would own between 40% and 50% of the combined company, with Deutsche Telekom, T-Mobile’s parent, owning the majority stake. These terms are near final and will require due diligence before a deal is announced, which may happen as soon as the end of October, according to Reuters’ sources.
In addition to shareholder and board approval, the deal would face regulatory scrutiny from the U.S. government. SoftBank was forced to abandon an attempted merger with T-Mobile back in 2014 due to government pressure.
The combined T-Mobile/Sprint entity would catapult to 130 million customers, putting it just behind rivals AT&T and Verizon Wireless.
