T-Mobile to buy Sprint in $26.5 billion deal

T-Mobile has agreed to acquire Sprint in an all-stock transaction worth $26.5 billion, the telecom companies said Sunday.

The announcement comes after years of on-again, off-again negotiations between Bellevue, Washington-based T-Mobile, the No. 3 U.S. wireless carrier, and Overland Park, Kansas-based Sprint, the No. 4 wireless carrier.

The combined company would be called T-Mobile and make its headquarters in Bellevue, with Overland Park serving as a second headquarters.

That raises questions about jobs at Sprint’s suburban Kansas City campus, where the company currently has about 6,000 employees.

The companies said joining forces will make them more competitive in the fight against larger rivals AT&T and Verizon. They touted the planned launch of a 5G network and lower costs for customers.

There are concerns about antitrust regulators nixing the deal. Some analysts said they expect the Department of Justice to reject the deal, and Sprint’s stock tumbled on those concerns in pre-market trading.

Regulatory concerns about reduced competition undermined a previous tie-up attempt by the two companies in 2014.

Read more: Kansas City Star, Bloomberg

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