Four more US states join lawsuit to prevent T-Mobile-Sprint merger

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Four more US states join lawsuit to prevent T-Mobile-Sprint merger

On Friday, the 21st of June 2019, a New York Official said at a court hearing that four more US States had spliced themselves at an unusual attempt by US State Attorney Generals to prevent a potential $26.5 billion merger between the US wireless carriers, T-Mobile and Sprint, which in effect would downsize the number of US wireless carriers and raise concerns over competitiveness.

In an amended complaint filed on Friday (June 21st), the attorney generals of the states of Massachusetts, Minnesota, Hawaii and Nevada had joined an ongoing attempt to prevent the Sprint-T-Mobile merger which would likely to heighten the costs of pre-paid data, chief of anti-trust bureau in the Attorney General’s office of New York, Beau Buffier said on Friday (June 21st).

Aside from that, lawyers of the states protesting against the merger deal and the companies had proposed October 7th to begin a trial over the issue, while the latest repercussion came forth following T-Mobile’s recent attempt of selling off some of its wireless carrier assets.

None the less, earlier this week, the US Justice Department had told T-Mobile to sell off some of its assets in order to receive a go-ahead signal, and the US lender, Goldman Sachs, which had been overseeing the financial terms of the merger deal, had been in talks to arrange an auction to sell T-Mobile’s wireless brand Boost despite a Dish Network Corp.’s bid of around $6 billion.

However, following the reveal of the latest lawsuits, shares of Sprint had wrapped up Friday (June 21st) market 5.9 percent down, while T-Mobile had shed more than 2 percent.