Dish Network Corp announced last Tuesday that it had responded to all the questions posited by the special committee of Sprint Nextel's board of directors. Now, Dish awaits the board's response to its unsolicited bid worth US$25.5 billion for the takeover of the company.
In its responses, Dish told the board that it would be selling US$2.5 billion in debt to fund the bid. This is the second debt sale conducted by the company to fund the acquisition in the past six weeks. The previous one raised US$2.3 billion, which is double the initial estimates for the bond issue.
Dish also expressed to the board that if Sprint does not decide on the deal by a specific date, the subsidiary making the latest debt offering would redeem all the notes issued.
Reuters had reported last week that Softbank Corp issued a veiled threat to banks seeking to finance the Dish bid for Sprint. Softbank has an existing deal to purchase sprint, which has been railroaded by the Dish offer.
According to Dish, it had met with the advisers to the Sprint special committee in considering the offer and the firm was 'unaware of any items that remain outstanding.'
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