Feeds

T-Mobile US to raise nearly $2bn in share sale to splurge on spectrum

Mobile firm looks ahead to future government auctions

Remote control for virtualized desktops

T-Mobile US has announced it will be selling off a bunch of new stocks to bring in nearly $2bn to spend on spectrum.

America's fourth largest mobile service provider said it would offer 66.15m common shares and use the proceeds for a whole bunch of vague corporate stuff and for "opportunistically acquiring additional spectrum".

T-Mobile's owner, Deutsche Telekom, was quick to confirm on Twitter that it was "very much committed" to the company. It said it wasn't selling its own shares, but its 74 per cent stake in the firm would be diluted down to 67 per cent by the public offering.

Investors appear to be uneasy about the move, with shares in T-Mobile dipping by three per cent in after-market trading after it announced the sale. If shares stay around the closing price of $26.97, the company stands to make $1.96bn from the new offering.

The next government spectrum auction is expected in January next year, when the spectrum assets of bankrupt telco LightSquared will be sold off. After that, an auction of spectrum licences currently owned by broadcasters is due some time next year or potentially in 2015.

Satellite TV company Dish Network is the only firm that has publicly said it's interested in scooping up LightSquared's spectrum, but mobile firms like T-Mobile, Sprint, AT&T and Verizon may still get involved in the auction. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
I'll be back (and forward): Hollywood's time travel tribulations
Quick, call the Time Cops to sort out this paradox!
Musicians sue UK.gov over 'zero pay' copyright fix
Everyone else in Europe compensates us - why can't you?
Megaupload overlord Kim Dotcom: The US HAS RADICALISED ME!
Now my lawyers have bailed 'cos I'm 'OFFICIALLY' BROKE
MI6 oversight report on Lee Rigby murder: US web giants offer 'safe haven for TERRORISM'
PM urged to 'prioritise issue' after Facebook hindsight find
BT said to have pulled patent-infringing boxes from DSL network
Take your license demand and stick it in your ASSIA
Right to be forgotten should apply to Google.com too: EU
And hey - no need to tell the website you've de-listed. That'll make it easier ...
prev story

Whitepapers

Go beyond APM with real-time IT operations analytics
How IT operations teams can harness the wealth of wire data already flowing through their environment for real-time operational intelligence.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Website security in corporate America
Find out how you rank among other IT managers testing your website's vulnerabilities.