Home / Markets / Sprint, T-Mobile Shares Rise as Justice Department Reportedly Nears Approving Merger

 

Sprint (S) shares were up 3% and T-Mobile (TMUS) shares were up 1% on Friday afternoon, after The New York Times reported that the Justice Department is moving closer to approving the $26 billion merger between the two carriers, but only if the companies sell multiple assets to create a new wireless competitor, according to three sources familiar with the matter.

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If the arrangement is approved, it may weaken the attempt by attorneys general from nine states and the District of Columbia to block the deal through a lawsuit filed earlier this week, according to the report.

The department is pushing for Sprint and T-Mobile to sell a prepaid mobile service and spectrum, according to the sources. They have reportedly approached Dish Network (DISH), Charter Communications (CHTR), and Altice USA (ATUS) on buying prepaid service Boost Mobile and spectrum from Sprint, one source was cited as saying.

A settlement between the merging carriers and federal regulators may be completed over the next week, according to the three sources cited.

 
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