(Bloomberg) — SoftBank Group Corp. is acquiring 4.5% of Deutsche Telekom AG in an equity share swap that will also see the German carrier increase its slice of T-Mobile US Inc.
Deutsche Telekom plans to exercise call options granted under a separate 2020 deal to acquire about 45 million T-Mobile shares, issuing 225 million new shares to SoftBank in exchange. The German company then expects to complete a previously announced sale of T-Mobile Netherlands for $2.4 billion, using the money to acquire another 20 million T-Mobile shares, the companies said in a statement.
At the end of the transactions, SoftBank will end up with 4.5% of Deutsche Telekom and about a 3.3% slice of T-Mobile, which could rise to 6.9% contingent on the U.S. carrier hitting certain milestones. Shares in the Japanese investment giant rose as much as 8.7%, their most intraday since December.
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