T-MOBILE US, INC. (NASDAQ:TMUSP) Files An 8-K Entry into a Material Definitive Agreement
Item1.01 Entry Into Material Definitive Agreement.
On April 13, 2017, the Federal Communications Commission (the
FCC) announced that T-Mobile US, Inc. (the Company) was the
winning bidder for 1,525 licenses in the 600MHz spectrum auction
for an aggregate purchase price of $7.99 billion. At the
inception of the auction process in June 2016, the Company
deposited $2.20 billion with the FCC which, based on the final
outcome of the auction, is sufficient to cover its down payment
obligation that is due on April 27, 2017. The Company is required
to pay the remainder of the purchase price (i.e., $5.79
billion) to the FCC on or prior to May 11, 2017 and expects to
receive the licenses at the conclusion of the FCCs standard
post-auction licensing process. The Company intends to fund the
remainder of the purchase price using cash reserves and by
issuing $4.0 billion of high-yield notes to the Companys majority
stockholder Deutsche Telekom (DT) to its existing purchase
commitments with DT under (i)a purchase agreement, dated as of
March6, 2016 (as amended on October28, 2016), among the Company,
the guarantors party thereto and DT for $2.0 billion 5.300%
Senior Notes due 2021, (ii)a purchase agreement, dated as of
April25, 2016 (as amended on October28, 2016), among the Company,
the guarantors party thereto and DT for $1.35 billion 6.000%
Senior Notes due 2024 and (iii)a purchase agreement, dated as of
April29, 2016 (as amended on October28, 2016), among the Company,
the guarantors party thereto and DT for $650 million 6.000%
Senior Notes due 2024.
Item7.01 Regulation FD Disclosure.
A copy of the Companys press release on the FCCs announced
results of the 600MHz spectrum auction is attached as Exhibit
The information provided to this Item7.01 in this Current Report
on Form 8-K shall not be deemed filed for purposes of Section18
of the Securities Exchange Act of 1934, as amended (the Exchange
Act), or incorporated by reference in any filing under the
Securities Act of 1933, as amended, or the Exchange Act, except
as may be expressly set forth by specific reference in such a
Item9.01 Financial Statements and Exhibits.
The following exhibits are provided as part of this Current
Report on Form 8-K:
Press release, dated April 13, 2017, entitled T-Mobiles
Spectrum Haul is a Game Changer for Wireless Consumers.
T-MOBILE US, INC. (NASDAQ:TMUSP) Recent Trading Information
T-MOBILE US, INC. (NASDAQ:TMUSP) closed its last trading session up +0.17 at 104.36 with shares trading hands.
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