Berkshire Hathaway mulling up to USD 20bn investment in Sprint; Liberty Media considering additional investment - reports
15 JUL 2017
Berkshire Hathaway Inc [NYSE: BRK.A], led by billionaire Warren Buffett, is considering an investment of as much as USD 20bn in Sprint Corp. [NYSE:S], according to newswire reports.
In addition, Liberty Media Corp led by another billionaire John Malone, is also mulling an investment possibility in the US wireless telecommunication company, although the amount is not known, Reuters and Bloomberg reported.
Sprint Chairman Masayoshi Son, also the president of SoftBank Group Corp. [TYO:9984], had two separate meetings with the two billionaires respectively this week in Sun Valley, Idaho, Reuters reported, citing people familiar with the situation.
Marcelo Claure, the CEO of Sprint, was also involved in the talks, the Reuters report said.
Although the talks are still in a preliminary phase, Berkshire Hathaway is considering an investment of a value between USD 10bn and USD 20bn, according to the Reuters report.
Softbank Group at present holds na 83% stake in Sprint, and part of the potential investment would dilute the stake, Bloomberg reported, citing an unidentified person familiar with the situation.
The rest of the funding in cash would strengthen Sprint's financial status, the Bloomberg report said.