According to Bloomberg, the US Department of Justice has just announced that it will submit a deferment request for the Sprint / Softbank merger to the FCC. Telecom acquisitions in the United States require approval from both the DoJ and the FCC, with the former agency focusing largely on potential anti-trust issues. Softbank officially announced the buyout in October.
It's not exactly a big surprise that the DoJ is looking at this deal cautiously. Read More
This morning, AT&T VP Brad Burns released a statement regarding the upcoming Softbank purchase of Sprint, and it carefully treads the line between "passive aggressive displeasure" and "seriously FCC, if this goes through, we're buying like a million carriers":
Softbank's acquisition of Sprint and the control it gains over Clearwire will give one of Japan's largest wireless companies control of significantly more U.S. wireless spectrum than any other company. We expect that fact and others will be fully explored in the regulatory review process.
Just what the title says here, folks: Softbank and Sprint have reached a deal that will transfer 70% of Sprint's shares to the Japanese telecom giant. The price? A cool $20 billion - a premium significantly above Sprint's $17 billion market cap, 70% of which would be just $12 billion. The deal will involve Sprint selling $8 billion of stock directly to Softbank, and another $12 billion that will be acquired through Sprint shareholders, at a price of $7.30 a share. Read More
As we reported yesterday, there are decidedly loud rumblings that Japanese telecom giant Softbank is in talks to acquire a rather large hunk of Sprint. Today, more information regarding the potential deal has been leaked to Reuters by a person close to the matter, and the numbers are staggering.
Softbank is looking to buy 70% of Sprint, and they're asking for $23 billion in financing from Japanese banks to do it. Read More