DISH Network Corp DISH stock is doing well today as reports suggest that the company has gained government support for its bid to acquire airwaves from T-Mobile US Inc TMUS. EchoStar Corp SATS, which Dish wants to merge with, is also seeing positive trading on Tuesday.
US antitrust regulators have requested an extension of the deadline for Dish to purchase airwaves from T-Mobile US to ease the financial pressure on Dish. This request comes as T-Mobile prefers to auction the frequencies rather than sell them to Dish, according to Bloomberg.
The Justice Department has proposed extending Dish’s deadline to April 1, giving them more time to complete the $3.5 billion purchase.
Dish missed the initial August deadline for this acquisition. The sale of the airwaves was mandated by US authorities to restore competition that declined when T-Mobile acquired Sprint Corp in 2020.
T-Mobile has opposed Dish’s request for an extension, with several states involved in the litigation related to the Sprint deal expressing the same sentiment. In response, Dish has agreed not to make any further requests for additional time.
The Justice Department emphasizes the importance of Dish acquiring the 800 MHz spectrum in question as it would strengthen its position as a national carrier. This spectrum is valuable for mobile connectivity.
Meanwhile, T-Mobile can explore other potential buyers for the airwaves and initiate the auction process before the extended April 1 deadline.
Dish’s merger with EchoStar is seen as a way to reduce financial burdens and provide Dish with the necessary resources to establish a new wireless network.
Price Actions: DISH shares are currently up 1.80% at $6.50 as of the latest check on Tuesday. SATS shares are also up 1.69% at $18.65.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.