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  • Dish (DISH -0.3%) is raising $2.5B in debt to help finance its bid for Sprint (S +0.8%), and presumably demonstrate its seriousness to Sprint's board. Bloomberg reported last week Sprint has held off on giving Dish access to its books, partly due to skepticism about the satellite TV provider's ability to finance its offer (includes a $17.3B cash component). Dish had $11.9B in debt on its balance sheet as of March 30, to go with $7.2B in cash/investments. [View news story]
    ~39 billion dollars. That how much Sprint and its parent will be shackled with if Dish's buyout goes through. ~22 billion dollars is how much debt the buyout from Softbank would amount to. Softbank is a much better deal.
    May 14, 2013. 03:33 PM | 2 Likes Like |Link to Comment
  • Dish Network (DISH) has Jefferies helping it line up $25.5B in financing for the company's bid for Sprint (S), according to Bloomberg. Jefferies and Barclays will reportedly look for one or two more investment banks to join the bandwagon to help make the Dish offer irresistible. [View news story]
    Dish, please stop. Just... stop. As a shareholder I want you no where near Sprint. Go away please, and take your massive debt with you.
    May 10, 2013. 01:18 PM | 1 Like Like |Link to Comment
  • Dish (DISH -1.4%) owned $592M in "derivative financial instruments" tied to Sprint's (S) stock as of May 1, as well as Sprint shares worth $75M as of March 31, the company discloses in a 10-Q filed after its Q1 report. Dish also owned $950M in Clearwire (CLWR) debt at the end of Q1, nearly unchanged from $951M at the end of Q4. Consider the Sprint purchases an attempt to gain a bit of leverage as Dish pursues its bids for Sprint and Clearwire. Also: During Dish's Q1 call, Charlie Ergen stated Dish would consider partnering with another carrier if Sprint sticks with SoftBank (no surprise), and that a sale of the company wouldn't be out of the question. (previous[View news story]
    The plot thickens!
    May 9, 2013. 02:23 PM | Likes Like |Link to Comment
  • Dish (DISH +0.1%) CEO Charlie Ergen responds in kind to SoftBank (SFTBF.PK) chief Masayoshi Son's caustic remarks, insisting Dish's bid for Sprint (S +0.4%) is superior and appealing to nationalism along the way. "We're offering a higher price ... We are an American company ... Operations command control will be in America. That's good for jobs." Ergen also argues SoftBank's Japanese corporate culture will lead to integration challenges. "If you have to lead tens of thousands of employees, culture matters." Of course, Son and SoftBank are often seen as mavericks in Japan. (more on Ergen[View news story]
    As a long investor in Sprint, SoftBank's offer is much better. Yes, it is 5B less but in the long term it will become a better ownership.

    First, SoftBank has overall lesser debt than Dish. A recent article (I don't remember the URL, my apologies) stated that if Dish obtained Sprint the combined debt would be 39B, versus the 23B if SoftBank obtained Sprint.

    Second, Dish is desperately trying to move into the mobile arena. They are woefully late compared with their competitors. On the other hand SoftBank has no need for television since their core business is mobile and mobile-centric products. SoftBank and Sprint are peers separated by oceans. SoftBank can obtain Sprint and begin to push mobile with a larger infusion of cash. In another article I read (again, I don't remember the URL) it stated that SoftBank came to Europe and aggressively offered extremely low priced contract plans starting at €12.95. The plan was such a success that other carriers followed suit.

    I would prefer Sprint go with SoftBank. If there's a shareholder vote, I'm voting SoftBank.
    May 2, 2013. 06:40 PM | Likes Like |Link to Comment
  • Why Softbank Deal Is Positive For Sprint Shareholders [View article]
    Same! :)

    Word of the day: ensconced
    Oct 17, 2012. 12:09 PM | Likes Like |Link to Comment
  • Sprint Need Not Fear The T-Mobile/MetroPCS Tie-Up [View article]
    The reason for the deal has little to do with growth potential and has everything to do with debt forgiveness. According to Trefis analysis, "Sprint has $800 million of debt maturing in 2013, $1.4 billion in 2014 and $2.6 billion in 2015. Sprint has a net debt load of about $26 billion on its balance sheet, which compares poorly with its current market capitalization of $15 billion." ( Needless to say Sprint needs a wealthy benefactor to offload their debt. This is primarily the reason I see Sprint moving forward with the deal.
    Oct 17, 2012. 11:34 AM | Likes Like |Link to Comment
  • Sprint's Unreasonable Post-Deal Valuation [View article]
    This is the largest Venture Capitol investment I've seen. Basically Sprint knows they cannot eliminate the outstanding debt they have so Softbank offers to buy them and in exchange absorb their debt. I think it's a good move.
    Oct 16, 2012. 01:48 PM | 1 Like Like |Link to Comment
  • Sprint Is Worth $5.30 Excluding Takeover Rumors [View article]
    Trefis is a joke. If we went by their research no one would've bought shares of Sprint when it was at 3.30.
    Oct 15, 2012. 07:11 AM | Likes Like |Link to Comment
  • To buy a two-thirds stake in Sprint (S), Softbank (SFTBF.PK) would need to significantly increase its debt, which is already over $10B. While Japanese banks seem willing, a major loan would come just a few years after leverage-fueled acquisitions almost caused Softbank to collapse. And the new debt would be to purchase a company that hasn't made an annual profit since 2006. [View news story]
    Sprint really shouldn't look to merge or acquired any company, or be absorbed by any company. If they truly valued their unique position as the only third carrier in the United States to offer Apple products they would focus on enhancing that, their network and paying down their debt. Anything beyond that is too risky.
    Oct 14, 2012. 01:39 PM | 1 Like Like |Link to Comment
  • Sprint (S +12.7%confirms it's in talks with SoftBank (SFTBF.PK) about a "potential substantial investment" that could lead to a change of control. In an e-mail to employees, CEO Dan Hesse cautions the deal "may or may not occur." (more[View news story]
    Sprint is sure in a flurry of activity today. They made the list on Google's Finance aggregate under Gainer Trends.
    Oct 11, 2012. 01:37 PM | Likes Like |Link to Comment
  • The Last Thing Sprint Needed Was More Competition [View article]
    Sprint has something T-Mobile doesn't have and won't for the foreseeable future. iPhone. It doesn't matter what T-Mobile does, if they don't have iPhone in their lineup they're irrelevant.
    Sep 30, 2012. 02:31 PM | 2 Likes Like |Link to Comment
  • Sprint's Acquisition Targets: Which Call Options Should You Purchase? [View article]
    Sprint should not acquire anything at the moment.
    Sep 27, 2012. 12:33 PM | 1 Like Like |Link to Comment
  • 5 Potential Shorts If We Go Higher [View article]
    RE: The push-to-talk will soon be on Sprint's CDMA technology.

    I did some research and found Sprint is going to eventually phase out CDMA in favor of LTE in order to keep themselves current, relevant, and modern.

    From the Wikipedia article,
    "Initially, CDMA operators planned to upgrade to rival standards called UMB and WiMAX, but all the major CDMA operators (such as Verizon, Sprint and MetroPCS in the United States, Bell and Telus in Canada, au by KDDI in Japan, SK Telecom in South Korea and China Telecom/China Unicom in China) have announced that they intend to migrate to LTE after all. The evolution of LTE is LTE Advanced, which was standardized in March 2011. Services are expected to commence in 2013."

    Aug 18, 2012. 04:08 PM | Likes Like |Link to Comment
  • Sprint Currently A Trade, Not An Investment [View article]
    Perhaps no, but the discouraging nature of your article may cause some of your 52,264 readers to become jittery and sell their positions. Enough of this activity then pushes Sprint down. The result: you come in and "initiate a long position in S over the next 72 hours" on lower priced shares.

    Please excuse my pessimism.
    Aug 17, 2012. 03:24 PM | Likes Like |Link to Comment
  • Sprint Currently A Trade, Not An Investment [View article]
    So your goal is to get people to sell their positions thereby pushing Sprint down so you...

    "RE: may initiate a long position in S over the next 72 hours."

    Aug 16, 2012. 06:28 PM | 6 Likes Like |Link to Comment