Sprint share price surge prompts intense M&A speculation

20 Aug 2012

The recent rise in Sprint Nextel’s share price has stoked market speculation that the company could either become a takeover target, or work towards the acquisition of a smaller rival, Fierce Wireless reports. On 13 August Sprint shares closed at USD5.05, the first time the company’s stock has topped USD5 in more than a year. However, the website notes that some of the speculation seems ‘somewhat outlandish’, with Google Inc, Apple Inc and Samsung Electronics all named by third-party sources as potential suitors for the carrier; none of the firms have ever given a clear-cut indication that they are interested in acquiring a wireless carrier.

In contrast, in the past Sprint has made no secret of its ambition to compete more effectively with its larger rivals AT&T Mobility and Verizon Wireless, and a deal for Texas-based MetroPCS was close to being finalised earlier this year, only to be rejected by Sprint’s board at the eleventh hour.

United States, Apple, Google (Alphabet), Samsung, Sprint Corporation (now part of T-Mobile US)