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Dish Network Talking Wireless Merger with SPAC

By  |  October 13, 2022

Dish Network is in preliminary discussions on a complex deal to merge its Boost mobile-phone business with Chairman Charlie Ergen’s SPAC.

“We are in regular dialog with interested parties who may assist us in accomplishing our goals, including recently preliminary conversations with Conx,” Dish wrote in an emailed statement. “There can be no assurance that these preliminary discussions will lead to a transaction nor as to the structure or terms of any such transaction.”

Ergen acquired prepaid service Boost from T-Mobile US in 2020 as part of an arrangement with the US government, which sought to preserve competition in the wireless market while still allowing T-Mobile to merge with Sprint. Since then, Boost has been rolling out 5G services in 120 cities, using airwaves Dish has acquired over the years, so it can stop relying on leased capacity from other carriers’ networks.

If the deal goes through, Boost would receive an influx of funds to accelerate its development without touching too much of Dish Network’s funds, New Street Research analyst Jonathan Chaplin wrote to clients on Thursday.

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