Dish Network hard at work to raise cash for T-Mobile bid

Shane McGlaun - Jun 12, 2015, 6:30 am CDT
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Dish Network hard at work to raise cash for T-Mobile bid

Earlier this month we talked about the possible merger between T-Mobile and Dish Network. T-Mobile is one of the most disruptive of the four major mobile carriers in the US and it has been trying to get someone to buy it for years. So far, federal regulators have shot down potential suitors. T-Mobile now has a suitor that the regulators presumably would like since the merger would leave four major carriers in the US.

Satellite TV company Dish Network was tipped to be in merger talks with T-Mobile and word now is that the satellite giant is looking to raise some big money to fund the purchase. According to sources, Dish Network is in talks with banks to raise $10-$15 billion to purchase T-Mobile.

The deal that Dish is pushing at the moment is funded primarily with stock, but it does need to raise enough cash for a portion of the purchase price. Sources also claim that DT, the parent company of T-Mobile, and Dish are working on a transaction that would leave DT with a minority stake in T-Mobile.

A deal is believed to be a ways off yet, but the fact that Dish is talking with banks likely means that the two companies are making progress. Last week the two firms were said to be in the early stages of a deal, but that they had agreed broadly on the structure of the merged company. Under the plan, T-Mo CEO John Legere would lead Dish/T-Mo with current Dish CEO taking on the chairman role.

SOURCE: Total Tele


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