SoftBank Up As it Receives 48.8 Million T-Mobile Shares

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Bill McColl
Bill McColl
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Bill McColl has 25+ years of experience as a senior producer and writer for TV, radio, and digital media leading teams of anchors, reporters, and editors in creating news broadcasts, covering some of the most notable news stories of the time.

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Published December 27, 2023
SoftBank headquarters in Silicon Valley

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Key Takeaways

  • SoftBank said it will receive more than 48.75 million shares of T-Mobile U.S. as part of its agreement to sell Sprint in 2020.
  • The Japanese firm indicated the shares were valued at $7.59 billion.
  • Softbank had purchased a majority stake in Sprint in 2013 and then struck the merger deal with T-Mobile in 2020.

American depository receipts (ADRs) of Softbank were up about 2.5% Wednesday after the company said it would receive more shares of T-Mobile U.S. (TMUS) as part of the sale of Sprint.

The Japanese conglomerate said it will receive 48.75 million T-Mobile shares valued at approximately $7.59 billion for no additional cost following the satisfaction of conditions outlined in the Letter of Agreement for the 2020 Sprint acquisition.

Softbank purchased a majority stake in Sprint for about $22 billion in July 2013. In 2020, SoftBank sold the company to T-Mobile and a condition of that agreement included the current payout requirement.

The company said it expects T-Mobile to issue the shares within 10 days of the request. 

T-Mobile U.S. shares were up slightly on the news. They had hit an all-time high earlier this month, and remain in positive territory for 2023.

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  1. Softbank. "Acquisition of 48.8 Million Shares of T-Mobile Stock (Equivalent to USD 7.6 Billion) for No Additional Consideration upon Satisfaction of Contingent Consideration Condition."

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