Sprint and T-mobile could merge as early as 1 April
A new amendme...
The long gestating merger deal between the United States’ third and fourth largest telecommunications companies is close to completion.
A new amendment to their agreement has set out terms by which the deal could be completed as early as 1 April of this year, with the new company retaining the T-Mobile name.
That amendment has been born out of the relatively poor performance of Sprint since the deal was first signed, while T-Mobile recently beat estimates for its quarterly results. Consequently, for Sprint’s owner SoftBank will receive one share of T-Mobile for every 11 Sprint shares, up from one for every 9.75 initially.
John Legere, the current CEO of T-Mobile, said: “Today’s announcement is another significant step forward toward finally closing this transaction! Throughout this journey, T-Mobile and Sprint have been singularly focused on one thing: building a supercharged Un-carrier that will offer U.S. consumers a broad and deep nationwide 5G network, more choice and greater competition. We are now on the threshold of achieving our goal.”
The new T-Mobile’s ownership is expected to be constituted 43% by Deutsche Telekom, 24% by SoftBank and 33% by public shareholders. SoftBank was originally going to have 27% to Deutsche Telekom’s 42%.
“With today’s agreement in place, we are now turning our attention toward our goal of closing this transaction and creating the New T-Mobile as early as April 1, 2020,” said Mike Sievert, COO and President of T-Mobile and set to be CEO from May 1, 2020.
T-Mobile US, which is owned by the german company Deutsche Telekom, first made its intentions clear in 2017, but was held up by a number of legal wrangles. The final hurdle is yet to be cleared, with approval still pending from a number of bodies including the California Public Utilities Commission
Bukalapak raises $1.5bn in record Singapore IPO, say sources
Bukalapak, currently the fourth largest Indonesian ecommerce company, is said to have raised $1.5 billion in the first IPO by an Indonesian tech unicorn.
Three unidentified, but likely reliable, sources told Reuters the order books for Bukalapak’s IPO were covered by multiples, with one source claiming the issue attracted more than $6 billion in demand despite being listed at the top of its indicated price range.
Bukalapak's 50x growth
Bukalapak was looking to raise just $300 million just a few months ago. The figure grew to $800 million before rising to $1.5 billion as investors jockeyed for a piece of the company.
Covid-19 has had a positive impact on many ecommerce operators, and Bukalapak also has strong investment lines via Singapore sovereign investor GIC and Microsoft, among others. The company focuses on micro, small and medium-sized enterprises.
Indonesia is Southeast Asia’s biggest economy.
Indonesia’s four biggest ecommerce companies
Tokopedia is an Indonesian technology company specializing in e-commerce. It was founded in 2009 by William Tanuwijaya and Leontinus Alpha Edison.
Shopee was first launched in Singapore in 2015, and later expanded its reach to Malaysia, Thailand, Taiwan, Indonesia, Vietnam, the Philippines, Brazil, Mexico, Chile, and Colombia.
Lazada is a Singaporean multinational technology company which focuses mainly on e-commerce. Founded by Maximilian Bittner with the backing of Rocket Internet in 2012, it is currently owned by the Alibaba Group after its acquisition in 2016.
Bukalapak is an Indonesian e-commerce company. It was founded in 2010 as an online marketplace to enable small and medium enterprises go online and has expanded to support smaller traditional family owned businesses.