Softbank reportedly courting banks for funds to buy Sprint

SoftBank

Japanese carrier is allegedly in talks with three Japanese banks to secure financing for a possible Sprint acquisition, according to a Reuters report. Softbank could buy a majority stake in the US carrier, but it would be a risky venture warns some brokerages. The Japanese carrier already carries a net debt of about $10 billion and acquired $2 billion when it recently bought smaller Japanese carrier eAccess. Sprint has about $15 billion in net debt. With a combined debt in the $20-$30 billion range, some analysts are concerned that Softbank may be biting off more than it can chew.

According to the Reuters report, Softbank may be looking to borrow as much $23 billion in a bid to buy Sprint and possibly MetroPCS. T-Mobile and MetroPCS are in the rely stages of a merger and a n attractive counter bid from Softbank/Sprint could disrupt that process.

[Via Reuters]

  • Anonymous

    This worse than Sprint trying to buy metropcs. These guys are so mixed up.

    • http://twitter.com/sndplace Steven aNd Diane

      Don’t think so. Its about the future. If they can expand and bring all three companies mobile power to one table and utilize Metro’s network and SoftBanks investment, Sprint can get there LTE network up and running faster. The Wi-Max and LightSquare deals Put Sprint behind so this will bring them up to speed instantly. IMO anyway. I hope this works for Sprint and it will keep the market competitive. 

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