T-Mobile US is reportedly interested in acquiring frequencies from rival operator Verizon Wireless. The news comes after T-Mobile offered US$3.8bn in shares and senior notes over the past week to raise funds for spectrum acquisitions and other capital…
T-Mobile US is reportedly interested in acquiring frequencies from rival operator Verizon Wireless.
The news comes after T-Mobile offered US$3.8bn in shares and senior notes over the past week to raise funds for spectrum acquisitions and other capital investments.
T-Mobile has approached Verizon to purchase airwaves but the process is in its early stages, a source familiar with the matter told Reuters. Last week, the US operator said it was in discussions with another party about a spectrum acquisition.
A consensus has formed among analysts over the past week that T-Mobile has set its sights set on Verizon’s unused 700 MHz A block spectrum.
Speaking at a conference in Barcelona today, Verizon Communication’s CFO Fran Shammo reportedly said the incumbent would entertain offers for the A block frequencies held by its wireless subsidiary.
He added that the company was not desperate to sell the licences, valued at between US$3bn and US$4bn by analysts, and would use them in its network if a buyer did not come forward.
Verizon currently owns 55% of Verizon Wireless and has management control. It is in the process of acquiring the remaining 45% stake held by Vodafone for US$130bn.
