Sprint stockholders approve SoftBank mergerAlex Wagner - Deputy Managing Editor, News Desk
No surprise here, but after Sprint and SoftBank reworked their agreement earlier this month to give more cash to Sprint's shareholders, those folks have approved of the deal. Sprint just announced that its stockholders have "overwhelmingly" given their approval, with 98 percent of the votes cast at the Sprint shareholder meeting going in favor of the agreement.
The sweetened Sprint-SoftBank deal that was announced a couple of weeks ago will allow Sprint stockholders to receive $7.65 in cash for each share that they own, or they can choose to convert their shares into New Sprint common stock. The amount of cash that'll be available to Sprint shareholders is $16.64 billion, which is the majority of the $21.6 billion total that SoftBank will be dropping on Sprint as part of this transaction. Once the deal is done, SoftBank will own 78 percent of New Sprint, with the other 22 percent belonging to Sprint stockholders.
This Sprint shareholder vote was one of the final hurdles standing in the way of the completion of the Sprint-SoftBank deal. Now that it's done, the agreement must be given the green light by the FCC. We'll just have to wait to see how the FCC weighs in on the matter, but considering that the deal's already been approved by the Justice Department, SEC and Committee on Foreign Investment, I'd say that its odds of being ok'd by the FCC are looking good. Sprint and SoftBank expect to complete their agreement by early July.