Affiliated company merges with major US mobile phone company on April 2 at 8:05
T-Mobile US, a major US mobile phone company, and Sprint, a subsidiary of SoftBank Group of Japan, announced today that the merger of both companies has been completed. The resulting merger will no longer be a subsidiary of SoftBank, so the significant debt Sprint has will be removed from the group.
According to the announcement, the new company will operate under the brand name "T-Mobile" and will be owned by Deutsche Telekom, the parent company of T-Mobile US.
The new company will be the third largest mobile phone company in the United States, after Verizon and AT & T, and will actively invest in high-speed communications called 5G to expand its services.
The two companies announced a merger initiative that demanded an injunction to hinder industry competition, but in February the New York District Court dismissed the action.
SoftBank acquired Sprint in 2013, but Sprint's interest-bearing debt was a burden due to the subsequent sluggish results.
The new company will no longer be a subsidiary of the group, which will reduce the burden on SoftBank.