Sprint Corporation issued a statement on the official website on the 29th that according to the agreement, each share of Sprint shares is approximately 0.1 shares of T mobile communications company. The merged new company is named T mobile communication company, original T mobile communication. CEO John Legger will serve as CEO of the new company.
The statement said that T-Mobile's parent company, Deutsche Telekom, will hold 42% of the shares of the new company, and Sprint’s major shareholder, Japan Softbank, will hold 27% of the shares. The transaction is expected to be completed in the first half of 2019.
The statement also said that the new company plans to invest 40 billion US dollars to expand its business and build 5G networks.
Analysts pointed out that the new company will have approximately 130 million users and pose challenges to the United States’ top two telecommunications operator giants Verizon Communications and AT&T.
T-Mobile and Sprint tried to merge in 2014, but the transaction was cancelled due to government regulatory pressure.