Sprint and T-Mobile could be rethinking a possible, according to sources close to the two companies who have been speaking to The Wall Street Journal. SoftBank CEO Masayoshi Son is reportedly interested in the deal as well — but not if it is unlikely to be approved.
The Japanese carrier doesn’t want to lose out on break-up fees if the merger is denied by the authorities after the bid is placed, The Journal reports. Reports stemming from a couple of months ago claimed that Softbank and Sprint were interested in the acquisition of T-Mobile USA — and these reports were further substantiated when Sprint and Softbank executives met with FCC officials to begin talks of a joint merger.
But at the time, the FCC and the Department of Justice didn’t sound too optimistic about the deal going through. That cast a dark shadow over the prospects of this proposed merger, and it looked as though it wasn’t going to happen, after all.
But as it stands right now, the merger still hangs in a balance. It still seems unlikely it will happen, but those involved haven’t given up on the possibility just yet. We should get some clarification from Softbank, Sprint, or T-Mobile in the coming days.
- Source The Wall Street Journal