T-Mobile reportedly eyes sale of wireless towers again
The carrier has hired an adviser to help it sell its assets and raise cash, according to Bloomberg.
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T-Mobile USA has hired advisers to help it sell its wireless towers in an effort to raise cash, Bloomberg reported today.
T-Mobile's network of roughly 7,000 wireless towers has been on the block before, and is seen as one of the easiest ways to generate money for the carrier's German parent, Deutsche Telekom AG. A sale is seen generating as much as $3 billion a year for T-Mobile, according to J.P. Morgan analyst Philip Cusick.
T-Mobile and Deutsche Telekom are on the hunt for cash after initiating an aggressive plan to move to 4G LTE on its own. T-Mobile is spending $4 billion toimprove its current service and deploy its 4G LTE network by next year. Much of the funds come from a break-up fee that AT&T had to pay T-Mobile for scrapping their planned merger, but more cash is likely needed in order for the business to run on its own with investment from its parent.
Last week, T-Mobile said it would cut a net 1,900 jobs after shutting down seven call centers as it looks to continue cutting expenses.
A T-Mobile spokesman said the company continues to evaluate a tower sale as part of its plans to be self-sufficient from parent DT, but wouldn't share any other specific details.
The company previously looked at a sale but scuttled the plans after its deal with AT&T.
T-Mobile hired TAP Advisors LLC to help with a potential sale, Bloomberg reported today.
The carrier is currently the fourth-place national provider of wireless service in the U.S. After a failed attempt to merge with AT&T, the company has gone back to aggressive disruptor role in the industry.