It’s been a month since T-Mobile and its rival Sprint Corp. have ended discussions to merge.
T-Mobile announced this week that its board approved the company’s very first buyback program.
According to the wireless carrier, Deutsche Telekom AG who already owns well over 60% of the company, is planning to buy even more shares.
The program will have up to $1.5 billion of shares eligible to be bought back and will start on Thursday and go on until December 31st 2018.
T-Mobile CFO Braxton Carter remarked, Coming off the Sprint deal with significant shareholder rotation happening, we think that we have a tremendous value here.”
According to Carner, with Deutsch Tekelom planning to buy more, the program could potentially reach the $2 billion level.
Carter said that, “(Deutsche Telekom) is finalizing plans right now.”
He also said, “We think there’s a lot of potential out there. That would be another use of cash.”
Disclaimer: We have no position in T-Mobile US, Inc. (NASDAQ: TMUS) and have not been compensated for this article.