French telecom company Iliad made a surprise bid for T-Mobile US late last week after months of rumors that Sprint and T-Mobile would be getting hitched. Iliad offered $15 billion for a 56.6% stake in T-Mobile, but now the Wall Street Journal is reporting that T-Mobile isn't even willing to entertain that deal and has opted not to give Iliad access to its financial data.
As part of any business deal of this magnitude, it's normal for the buyer to get a look at the books to make sure everything is in order. T-Mobile apparently denied to give the French company that access, saying the offer wasn't good enough for consideration. There is no formal deal with Sprint yet, but Sprint has allegedly agreed to a higher valuation of T-Mobile than what Iliad was using.
A deal between Sprint (technically parent company Softbank) and T-Mobile (parent company Deutsche Telekom) may be scrutinized closely by regulators (and even blocked) as it would reduce choice in the US telecom market. An Iliad buyout would keep the four-carrier status quo in place, though. It's not clear if Iliad will increase its bid or just walk away at this point.