Dish Network raised $1 billion through a debt offering just weeks after announcing plans to build a NB-IoT network with its spectrum stash.
Dish Network is looking to generate $1 billion through a debt offering, which the satellite television provider and wireless spectrum holder said it might use for “spectrum-related strategic transactions.”
The debt offering is in the form of 2.375% convertible notes due in 2024, which are set to be sold to a group of institutional investors. At maturation the notes will be valued at $82.22 per share, or a 32.5% premium over the company’s current stock price.
Dish is currently involved in the Federal Communications Commission’s 600 MHz incentive auction proceedings, which depending on the outcome will see the company potentially add to its already established haul of spectrum resources. Dish has said it currently holds approximately 75 megahertz of nationwide spectrum – which it has yet to put to use for commercial wireless services – including spectrum in the 1.7/2.1 GHz band through the FCC’s AWS-3 and AWS-4 auctions, spectrum around the 2 GHz band from the H-Block auction and spectrum in the lower 700 MHz E-Block.
Dish earlier this month filed documents with the FCC noting plans to meet build-out requirements for its AWS-4 and 700 MHz E-Block licenses through the deployment of a “5G” network in support of internet of things services. In the filing, Dish said it planned to meet a March 2020 deadline from the FCC for all of its spectrum licenses, with a focus on using narrowband-IoT technology.
“While we will continue to explore partnership opportunities, the current plan is to deploy a network on our own or in possible cooperation with Northstar Wireless and SNR Wireless, two entities in which Dish subsidiaries made noncontrolling investments in connection with the AWS-3 auction,” the company noted in the filing. “We also are open to exploring joint build partnerships that could reduce overall network deployments costs for Dish and other operators who may be upgrading or deploying their own networks in the same time frame.”
Dish has a history of touting plans to build a wireless network in order to compete in the commercial mobile market, as well as merger and acquisition activity with the likes of Sprint and T-Mobile US.
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