T-Mobile completes Sprint merger; Legere steps down

2 Apr 2020

Deutsche Telekom has announced that T-Mobile US officially completed its merger with Sprint Corporation on 1 April. The new company will continue to be included in Deutsche Telekom’s consolidated financial statements as a fully consolidated subsidiary and the combined company’s shares of common stock will continue to trade on the NASDAQ Global Select Market under the ‘TMUS’ symbol. The combination will create a company with a market capitalisation of around USD110 billion based on the T-Mobile US and Sprint share prices on 31 March 2020. Further, the company will serve around 140 million mobile subscribers, of which more than 100 million are branded customers.

In addition, the merger gives the cellco an aggregate nationwide spectrum portfolio of approximately 300MHz across all bandwidths, which it says is almost double the spectrum held by mobile competitors AT&T and Verizon. In the next six years New T-Mobile expects to have 14 times more capacity than the standalone T-Mobile has today. Within this time frame, the company will provide 5G to 99% of the US population and average 5G speeds in excess of 100Mbps to 90% of the US population.

Meanwhile, T-Mobile has announced that, along with close of the merger, it has successfully completed its long-planned CEO transition – from John Legere to Mike Sievert – ahead of schedule. The outgoing chief executive commented: ‘I’ve been fortunate enough to lead this company for the past seven years, but now it’s time for me to hand the reins over to Mike Sievert. The Board of Directors and I agree that it makes perfect sense for Mike to assume his leadership role on day one of the new company. He’s ready!’

United States, Deutsche Telekom (DT), SoftBank Group Corp, Sprint Corporation (became part of T-Mobile US), T-Mobile US