Department of Justice announced Friday that it has reached an agreement on the more than $26 billion merger between T-Mobile and Sprint.
Following the announcement, shares of T-Mobile and Sprint hit new all-time highs of $85.22 and $8.06, respectively. Shares of Dish Network climbed as much as 3.5%.
As part of the agreement, Dish will pay $5 billion for a combination of divested assets including Sprint’s Boost Mobile, Virgin Mobile and other prepaid phone businesses, as well as some of Sprint’s wireless spectrum. T-Mobile will make at least 20,000 cell sites and hundreds of retail stores available to the company. Dish will also be able to access T-Mobile’s network for seven years.
Makan Delrahim, head of the DOJ’s antitrust division, said without these remedies, the merger would “substantially harm competition.”
“Americans’ access to fast, reliable and affordable wireless connectivity is critically important to our economy and to every American consumer and to their way of life,” Delrahim said at a news conference announcing the agreement.