Softbank Sees Merger of Sprint, T-Mobile Done by Year-End
Tokyo, July 27 (Jiji Press)--Softbank Group Corp. <9984> said Saturday that the merger of Sprint Corp. and T-Mobile US Inc., the fourth and third largest mobile carriers in the United States, respectively, is now expected to be completed by the end of this year.
The Japanese technology conglomerate presented the prospect after the U.S. Department of Justice announced on Friday that it has approved the merger, which Softbank, the parent of Sprint, initially eyed for the middle of 2019.
Softbank also said Sprint and T-Mobile have agreed on the sale of certain Sprint operations, a condition set by the U.S. department for the merger.
Since Softbank acquired Sprint in 2013, the U.S. company, laden with interest-bearing debt worth over 4 trillion yen, has been a drag on its management.
As Sprint will no longer be a Softbank subsidiary following the completion of the merger process, the Japanese firm's interest-bearing debt is seen shrinking to some 11 trillion yen from about 15 trillion yen at the end of March this year.
[Copyright The Jiji Press, Ltd.]