Joe Raedle
T-Mobile US (NASDAQ:TMUS) on Tuesday said it would buy spectrum in the 600 MHz band from Comcast (NASDAQ:CMCSA) for a total cash consideration of between $1.2B and $3.3B.
TMUS stock was unchanged in extended trading, and so were class A shares of CMCSA.
The closing of the proposed deal is subject to various customary conditions, including an approval by the Federal Communications Commission (FCC).
“The parties expect to make the requisite transfer filings with the FCC in the first half of 2027. The closing is anticipated by T-Mobile (TMUS) to occur in the first half of 2028,” TMUS said in a regulatory filing.
The deal’s final purchase price will be determined, both in total and on a per spectrum basis, at the time both parties make the required transfer filings with the FCC.
The deal also contains an “optional sale licenses” aspect, under which, prior to the filings with the FCC, Comcast (CMCSA) has the right to remove any or all of a certain specified subset of the spectrum from the overall deal.
According to TMUS, the geographic areas covered by the spectrum that may not be removed from the deal include markets spanning about 39M people, while the geographic areas covered by the optional sale licenses include markets spanning about 110M people.