Sources tell Reuters that the nation’s fourth-largest wireless carrier has approached a rival over a possible deal to purchase additional wireless spectrum.
Talks between T-Mobile (TMUS) and Verizon Wireless – the country’s biggest carrier — over a possible purchase of wireless spectrum are still preliminary. A deal could cost T-Mobile up to $3 billion. Earlier this month, T-Mobile issued $2 billion in bonds in order to fund spectrum purchases.
Additional wireless spectrum would allow T-Mobile to boost the capacity of its wireless network. Verizon (VZ), which is in the process of acquiring full ownership in Verizon Wireless, has recently expressed interest in possibly finding a buyer for certain “A Block” spectrum, which it tried to sell, unsuccessfully, last year.
Shares of both T-Mobile and Verizon rose slightly in Wednesday morning trading.