Cable companies line up for T-Mobile’s wireless assets

Dish Network (DISH) has emerged as a frontrunner in acquiring Boost Mobile and other wireless assets that T-Mobile (TMUS) and Sprint (S) have offered to sell to secure regulatory clearance for their $26 billion merger, according to Reuters. Boost Mobile is a prepaid wireless business owned by Sprint. T-Mobile has its own prepaid wireless business, Metro. Cable providers Comcast (CMCSA), Charter Communications (CHTR), Altice USA (ATUS), and Amazon (AMZN) have also shown interest in purchasing Sprint’s and T-Mobile’s assets.

Can Dish Afford to Purchase T-Mobile’s Assets?

Apollo Global providing financial backing

Bloomberg reports that Dish is in talks to pay at least $6.0 billion for Boost and other T-Mobile and Sprint wireless assets. Dish has been impacted significantly by cord cutting, with its revenue falling 9.0% year-over-year to $3.2 billion in the first quarter. The company finished the quarter with a cash reserve of $1.6 billion. Reuters reports that private equity group Apollo Global Management was willing to back Dish financially in its bid for T-Mobile’s and Sprint’s wireless assets.

Dish’s pursuit of a deal that would allow T-Mobile and Sprint to combine marks an interesting turn of events. Dish had been opposed to T-Mobile merging with Sprint from day one.

Latest articles

Last week (ended August 16) was rough for Canopy Growth (WEED)(CGC) stock. It fell about 14% after the company's fiscal 2020 first-quarter earnings report.

Apple shares rose close to 3% in early hour trading on Monday. So, why is Apple stock trading higher? The market sentiment might have turned positive.

Huawei plans to launch its own mapping service as soon as this October. But Huawei’s Map Kit will initially not be a consumer mapping service.

In April, Amazon announced its plan to transform its free two-day shipping program to a free one-day shipping program for its Prime customers.

Cannabis companies face regulatory challenges. Recently, CannTrust (CTST) didn't comply with Health Canada’s regulations.

China’s state media agency, Xinhua News Agency, reported on August 18 that police had seized a FedEx parcel containing a handgun.