& cplSiteName &

Sprint's CEO Expects M&A-Related Announcement 'Soon'

Dan Jones

Sprint's CEO says he expects an announcement will be "coming soon" after the carrier's many discussions about its potential M&A options, which was one of the main topics of analysts' questions on Sprint's first-quarter financial year 2017 earnings call.

Sprint Corp. (NYSE: S)'s Marcello Claure said Tuesday morning that the carrier had plenty of "strategic" options regarding M&A. "We've been having a lot of discussions," he said. Claure stressed, however, that Sprint would not be announcing any deal on the earnings call.

"We think an announcement will be coming in the near future," Claure said, adding that this would likely be a "vertical" or "horizontal" integration with one of the potential partners that Sprint is talking to. (See Charter Rebuffs Sprint, Still a SoftBank Target?)

"We've been going at this since the spectrum auction ended," Claure said.

He did say he was surprised by some of the reports around a potential tie-up with Charter Communications Inc. . "Sprint was never offered for Charter to buy; it was part of a bigger offer," he said on the call. (See Sprint Proposes Merger With Charter – Report.)

Most of the rumors around a Sprint merger so far have centered around Charter or T-Mobile US Inc. The CEO, however, repeatedly said that Sprint has a lot of potential options.

For the first quarter of its 2017 fiscal year, Sprint reported its first profit in three years. Net income was $206 million -- or $0.05 per share -- compared to a loss of $302 million -- or $0.08 EPS a year ago. Revenue for the quarter was $8.16 billion, up from $8.01 billion last year. Sprint added 61,000 total customers for the quarter.

Sprint's shares are up at $8.45 -- a 5.89% climb -- in morning trading Tuesday.

— Dan Jones, Mobile Editor, Light Reading

(6)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
User Rank: Light Beer
8/2/2017 | 9:47:29 AM
Re: so, who will be?
Sprint's 2500 spectrum could allow Charter enter many new markets with fixed wireless and OTT TV.   Sprint might be much better off as a WISP than a mobile carrier, using MIMO outdoor antennas if needed.  They could still stay in mobile as a secondary player, perhaps roaming or parterng with TMO.
User Rank: Light Sabre
8/1/2017 | 4:58:07 PM
Re: T-Mobile
I said this before. It is obvious Sprint wants a merger partner, TMUS or anyone. By floating Warren Buffett and John Malone previously, and Comcast and now Charter, Son San is appearing to be desperate. Why, Sprint just has too much debt and its equity is not much of a currency. The latest rumor is Softbank SFTBY is going to line up 3 bankers. But Softbank also has a lot of debt. Crude as it may sound, you cannot marry off your undesirable offspring without a hefty dowry. If Son San wants his potential in-law to pay for the cost of the marriage, he is dreaming
User Rank: Light Sabre
8/1/2017 | 1:20:21 PM
Re: T-Mobile
Claure says it will be either a vertical or a horizontal integration? Why not diagonal?
User Rank: Blogger
8/1/2017 | 1:06:46 PM
Re: T-Mobile
T-Mobile's CFO is leery of having to deal with Sprint's financial structure as is though.
User Rank: Blogger
8/1/2017 | 12:48:03 PM
so, who will be?
The CEO said that a cable-mobile link-up would definitely make sense for some operator because they'd be able to use the cablecos infrastructure for 5G densification for instance.
User Rank: Light Sabre
8/1/2017 | 12:40:36 PM
It's got to be T-Mobile. The deal makes too much sense. 

Together, the two companies could actually compete. As it stands, the market is dominated by two huge players in Verizon and At&T. 
Featured Video
From The Founder
Light Reading founder Steve Saunders grills Cisco's Roland Acra on how he's bringing automation to life inside the data center.
Flash Poll
Upcoming Live Events
March 20-22, 2018, Denver Marriott Tech Center
March 22, 2018, Denver, Colorado | Denver Marriott Tech Center
March 28, 2018, Kansas City Convention Center
April 4, 2018, The Westin Dallas Downtown, Dallas
April 9, 2018, Las Vegas Convention Center
May 14-16, 2018, Austin Convention Center
September 25-27, 2018, Denver, Colorado
October 23, 2018, Georgia World Congress Centre, Atlanta, GA
November 8, 2018, The Montcalm by Marble Arch, London
November 15, 2018, The Westin Times Square, New York
December 4-6, 2018, Lisbon, Portugal
All Upcoming Live Events
Hot Topics
Trump Says Foxconn Will Make iPhones in US
Dan Jones, Mobile Editor, 1/15/2018
Net Neutrality Moves Are as Futile as Trump's Comb-Over
Iain Morris, News Editor, 1/18/2018
Huawei, ZTE Face US Federal Ban
Iain Morris, News Editor, 1/15/2018
Analyst: Verizon's Fixed 5G Is a Loss Leader for Mobile
Dan Jones, Mobile Editor, 1/16/2018
Ericsson Lurches to $1.8B Write-Down
Iain Morris, News Editor, 1/16/2018
Animals with Phones
Live Digital Audio

A CSP's digital transformation involves so much more than technology. Crucial – and often most challenging – is the cultural transformation that goes along with it. As Sigma's Chief Technology Officer, Catherine Michel has extensive experience with technology as she leads the company's entire product portfolio and strategy. But she's also no stranger to merging technology and culture, having taken a company — Tribold — from inception to acquisition (by Sigma in 2013), and she continues to advise service providers on how to drive their own transformations. This impressive female leader and vocal advocate for other women in the industry will join Women in Comms for a live radio show to discuss all things digital transformation, including the cultural transformation that goes along with it.

Like Us on Facebook
Twitter Feed