One of the laces left untied in the closure of the Sprint and T-Mobile merger was the condition that the combined carrier would sell prepaid entity Boost Mobile to Dish Network. Now, after a blip of a possibility that the satellite company would back out of negotiations, the two have officially locked into the divestiture deal.
The telecoms have filed respective Form 8-Ks with the SEC stating that Dish will acquire Sprint’s prepaid operations which include the Boost Mobile and Virgin Mobile MVNOs as well as Sprint’s own-brand prepaid customer base. Dish has been slow to ramp up its cellular network build-out. The deal is expected to close July 1.
This end stage comes a week after Fox Business reported that Dish chairman Charles Ergen was looking to renegotiate asset valuations in the deal with T-Mobile because of the coronavirus-related economic downturn. The Department of Justice reportedly came into the room this week to mediate talks. As far as what was officially mentioned, T-Mobile did state in its 8-K that the DoJ supported a condition to allow the company to provide its network-compatible handsets to current and new Dish prepaid customers.
The New York Post has reported that Dish may recruit Google in managing its acquired carriers, though Google denies the report.