Sprint and parent company SoftBank moved on previously announced plans to set up a separate entity designed to acquire Sprint network assets for $2.2 billion, and then lease those assets back to the carrier. The deal is said to allow Sprint to meet upcoming debt maturities, which published reports indicated included $34 billion in outstanding debt, which is more than twice its current market capitalization, and need to meet $2.3 billion in debt payments this year.
The entity, labeled Network LeaseCo, is described as “several bankruptcy remote entities” that plans on closing an acquisition of “certain existing network assets” next week.
