Operator T-Mobile US inked a deal to buy mobile assets from former Sprint affiliate Brookings Municipal Utilities (BMU), in a bid to strengthen its coverage and distribution in parts of two states.
The acquisition includes BMU’s network assets, retail stores and PCS spectrum, which currently serve approximately 14,000 customers in South Dakota and Iowa. T-Mobile said it plans to roll these into its own network and retail footprint after the deal’s expected close in the current quarter.
Financial terms were not disclosed.
Analysts at financial company Raymond James noted BMU was the smaller of two regional affiliates which sold services under the Sprint brand rather than their own.
T-Mobile previously announced plans to acquire the much larger Shenandoah Telecommunications (Shentel) in August 2020, but completion of that deal was hindered by a dispute over the purchase price. Shentel said in November an appraisal of its assets was due by 20 January, with the deal expected to close in Q2 2021.
Raymond James analysts estimated T-Mobile will pay approximately $2 billion for Shentel’s assets.