T-Mobile US is selling stock in an offering that could raise as much as USD1 billion. According to a company press release, T-Mobile will commence a registered public offering of 17.391 million shares of its Mandatory Convertible Preferred Stock (Series A), with a liquidation preference of USD50 per share. T-Mobile expects to use the net proceeds from this offering for general corporate purposes, including capital investments and acquisition of additional spectrum unrelated to that which it may obtain in Auction 97, the Federal Communications Commission’s (FCC’s) ongoing AWS-3 frequency auction. T-Mobile intends to grant the underwriters the option to purchase up to an additional 2.61 million shares of its Mandatory Convertible Preferred Stock.
Goldman Sachs, Morgan Stanley and Citigroup Global Markets are the joint book-runners for the offering, while Barclays Capital, Credit Suisse Securities, Deutsche Bank Securities and JP Morgan Securities have been named as the co-managers for the offering.