Yesterday Dish Network threw a pretty big wrench into Softbank’s plans to takeover Sprint, offering up its own bid of $25.5 billion. Despite Dish’s proposal, Softbank says they are far along in the approval process for acquring Sprint, and expects to complete the deal on July 1st.

SoftBank hopes to stress to Sprint that their company has a stronger balance sheet and better overall benefits to gain from its offer as opposed to what Dish brings to the table. If that doesn’t work, SoftBank seems willing to improve its offer of $20.1 billion to better match Dish.

For SoftBank, breaking in the U.S. market is an important step forward, and there is likely no better company to make the move with then Sprint. This means that SoftBank is willing to do whatever it takes to make sure that Sprint doesn’t lose interest in the merger.

What happens if the deal does head south in a hurry? If SoftBank can’t make a deal, they might lose an opportunity to expand into the United States, but at least they will still gain nearly $4 billion.

Under the current merger agreement, Sprint would have to pay SoftBank $600 million just to walk away from the deal. Then there is also a convertible bond that could be worth around $1 billion, and another $2.04 billion to be gained due to currency hedging based on the depreciated yen.

What do you think of the Softbank-Sprint deal, will it still end up going through as planned? Conversely, do you think that merging with Dish Network is the better move for Sprint?

Andrew Grush
Andrew is one of the three Managing Editors of Android Authority, primarily responsible for the overseeing of US team of writers, in addition to several other projects such as VR Source and more. He loves tech, gaming, his family, and good conversations with like-minded folks.