Softbank Purchasing 70% of Sprint for 20 Billion

As a follow-up to a post we did last week, Softbank, of Japan, today officially announced it will purchase 70% of Sprint for about $20 billion. The transaction will have Softbank conducting a $12.1 billion tender for Sprint shares at $7.30 per share, about 22% higher than the last trade on Friday. Softbank will also buy $8 billion in newly issued shares from Sprint. Sprint needs the cash for Clearwire and Apple payments. The breakup fee would be 600 million to Sprint – TechCrunch

Japan’s Softbank Trying to Purchase Sprint

Rumors have been floating around the Internet since late last even that Softbank, a large Japanese VC and number 2 cell phone firm in Japan, is looking to acquire Sprint. The rumors have been confirmed by Sprint that it is in “advanced talks” with Softback. A few days ago it was again rumored that Sprint would bid on MetroPCS which has a merger agreement with T-Mobile. The price for a sprint sale could be in the $12 Billion area – WSJ