updated 03:45 pm EST, Fri November 30, 2007
Sprint Rejects SKT
Sprint has rejected a bid from Korean telecom provider SK Telecom, say reports. The American provider has reportedly declined a $5 billion investment in exchange for sharing the same phones and network knowledge. The change would have resulted in a change of management, however. This potential investment is widely believed to be connected to SKT's controlling stake in Helio, the latter of which piggybacks on Sprint's network for its youth-oriented phone service.
US-based Sprint is reportedly more focused on finding a replacement for its recently departed chief executive Gary Forsee and might also face legal repercussions from allowing such a large investment from a foreign company, which could potentially affect the greater US economy. Neither Sprint nor SKT has commented on the exact reasons for rejecting the offer or whether Sprint is seeking alternative investors.