11:30 AM – Rumors about Sprint interested in making a bid to purchase T-Mobile have been going around for quite some time. Now according to a follow-up report from The Wall Street Journal, banks are not readying proposals for Sprint in order to fund the company’s bid for T-Mobile purchase. As big as T-Mobile is, the offer would need to be at least $20 billion.
In the report by The Journal, they note that as many as six banks are preparing proposals to fund the bid Sprint is preparing. Additionally, Masayoshi Son, chairman of Sprint and CEO of SoftBank was in New York City this week to have a meeting with Goldman Sachs CEO Lloyd Blankfein. We currently don’t know what the meeting was about but our best guess it may be about different topics such as funding Sprint’s LTE network and financing needed for Sprint’s bid for T-Mobile.
Banks are expected to submit their offers to Sprint in sometime January. We may see Sprint making a bid to T-Mobile as early as February or March. It’s worth noting that Sprint isn’t hundred percent sure it will even make a bid to T-Mobile and it’s just an idea looming in the air. We recently reported that Sprint has been in talks with Deutsche Telekom AG to purchase T-Mobile from them.
Additionally, T-Mobile has been making quite the come back. The company has scrapped with contracts amongst other things, and now have a promising future in the wireless business. Deutsche Telekom AG may not even sell T-Mobile to Sprint if it become quite profitable. DISH is also looking towards T-Mobile, since it has wireless spectrum it’s itching to use. The company failed to acquire Sprint previously.