On October 15, 2012, SoftBank and Sprint announced an agreement under which SoftBank will invest $20.1 billion in Sprint, including $12.1 billion to be distributed to Sprint stockholders and $8.0 billion of new capital to strengthen Sprint's balance sheet. Following closing, SoftBank will own approximately 70% and Sprint's equity holders will own approximately 30% of the company on a fully-diluted basis.
The SoftBank transaction provides Sprint shareholders with near-term cash, stock and synergies collectively representing a 21% premium to the preliminary, highly-levered proposal introduced by DISH. Moreover, Sprint shareholders will have the opportunity to participate in a better-capitalized, competitively enhanced Sprint, led by SoftBank ? a global wireless and technology leader.
SoftBank has a proven track record for value creation in the wireless industry. Since acquiring Vodafone Japan in March 2006, SoftBank has successfully competed against well-funded Japanese telecom incumbents to build SoftBank Mobile into one of the world's leading wireless providers. SoftBank has best-in-class network expertise, a strong history of innovation and deep, strategic relationships throughout the global wireless and technology ecosystems. SoftBank plans to use these capabilities and the enhanced wireless scale of the combined companies to drive near-term synergies and long-term value creation opportunities through improved operating efficiencies and enhanced consumer services.
The SoftBank transaction is fully financed and on track to obtain the remaining regulatory approvals for an expected close in early July 2013. SoftBank looks forward to working with the Sprint management team and shareholders to create an even stronger wireless carrier, better able to compete against the ongoing U.S wireless duopoly.
This website contains information related to the SoftBank/Sprint transaction. Please read the materials carefully and visit frequently to learn about new developments through the closing of the transaction.