T-Mobile Prices $3.55B Senior Notes Offering

TL;DR

T-Mobile just raised $3.55B in new debt across multiple maturities.

AI Summary

On December 13, 2024, T-Mobile US, Inc. announced the pricing of its offering of $3.55 billion aggregate principal amount of senior notes. The notes are due in 2029, 2032, and 2036, with specific interest rates for each maturity. This offering is part of T-Mobile's ongoing financing activities.

Why It Matters

This debt issuance indicates T-Mobile is raising capital, likely for network expansion, spectrum acquisition, or other strategic initiatives, impacting its financial leverage and future growth potential.

Risk Assessment

Risk Level: medium — Issuing significant debt increases financial leverage and interest expenses, which can pose risks if the company's revenue or cash flow generation falters.

Key Numbers

• $3.55B — Senior Notes Offering (Total principal amount raised by T-Mobile US, Inc.)

Key Players & Entities

• T-Mobile US, Inc. (company) — Registrant
• 3.55 billion (dollar_amount) — Aggregate principal amount of senior notes
• 2029 (date) — Maturity year for a portion of the notes
• 2032 (date) — Maturity year for a portion of the notes
• 2036 (date) — Maturity year for a portion of the notes

FAQ

Key Financial Figures

• $0.00001 — ich registered Common Stock, par value $0.00001 per share TMUS The NASDAQ Stock Mar
• $14.0 billion — lder return program of up to an initial $14.0 billion that will run through December 31, 2025
• $80.0 billion — ects its business plan to support up to $80.0 billion in investments and capital returns betw
• $50.0 billion — allocate such funds as follows: Up to $50.0 billion for share repurchases and cash dividend
• $20.0 billion — 2025 Shareholder Return Program; Up to $20.0 billion in a discretionary and flexible envelop
• $50 billion — ital returns to shareholders beyond the $50 billion initial allocation; and $10.0 billion
• $10.0 billion — he $50 billion initial allocation; and $10.0 billion to complete pending transactions. The

Filing Documents

• ef20039877_8k.htm (8-K) — 44KB
• image00001.jpg (GRAPHIC) — 4KB
• 0001140361-24-049266.txt ( ) — 241KB
• tmus-20241213.xsd (EX-101.SCH) — 5KB
• tmus-20241213_def.xml (EX-101.DEF) — 18KB
• tmus-20241213_lab.xml (EX-101.LAB) — 27KB
• tmus-20241213_pre.xml (EX-101.PRE) — 20KB
• ef20039877_8k_htm.xml (XML) — 8KB

01

Item 7.01. Regulation FD Disclosure. On December 13, 2024, T-Mobile US, Inc., a Delaware corporation (the "Company"), announced that its Board of Directors (the "Board") has authorized a new shareholder return program of up to an initial $14.0 billion that will run through December 31, 2025 (the "2025 Shareholder Return Program"). The 2025 Shareholder Return Program is expected to consist of additional repurchases of shares of the Company's common stock, par value $0.00001 per share, and payment of cash dividends. The amount available under the 2025 Shareholder Return Program for share repurchases will be reduced by the amount of any cash dividends declared and paid by the Company. For the avoidance of doubt, the 2025 Shareholder Return Program is in addition to the Company's shareholder return program announced in September 2023 that runs through December 31, 2024. The 2025 Shareholder Return Program is the next step consistent with the Company's capital allocation framework outlined at its recent Capital Markets Day. As discussed at Capital Markets Day, the Company expects its business plan to support up to $80.0 billion in investments and capital returns between September 18, 2024 and the end of 2027. The Company currently plans to allocate such funds as follows: Up to $50.0 billion for share repurchases and cash dividends, which includes the 2025 Shareholder Return Program; Up to $20.0 billion in a discretionary and flexible envelope for potential activities including de-levering, investments in the core business, strategic investments, and/or additional capital returns to shareholders beyond the $50 billion initial allocation; and $10.0 billion to complete pending transactions. The initial amount allocated for the 2025 Shareholder Return Program reflects the Company's ongoing balanced capital allocation philosophy of maintaining a prudent leverage ratio of approximately 2.5x, while it also anticipates the impacts of the Company's announced and still

01

Item 8.01. Other Events. The first, second, fifth and sixth paragraphs under Item 7.01 are hereby incorporated into this Item 8.01. Cautionary Statement Regarding Forward-Looking Statements This communication contains certain forward-looking statements concerning the Company's expectations with respect to repurchases of shares of common stock, the declaration and payment of any dividends and the Company's cumulative cash flexibility through 2027, including the timing and manner of any purchases and the timing of any dividends under the Company's 2025 Shareholder Return Program, and our potential future capital allocations. All statements other than statements of fact, including information concerning future results, are forward-looking statements. These forward-looking statements are generally identified by the words "anticipate," "expect," "intend," "may," "could" or similar expressions. Such forward-looking statements include, but are not limited to, statements about T-Mobile's objectives, expectations and intentions with respect to the 2025 Shareholder Return Program. There are several factors which could cause actual plans and results to differ materially from those expressed or implied in forward-looking statements. Such factors include, but are not limited to, changes in the market price of the common stock, general market conditions, access to credit or debt capital markets, applicable securities laws and alternative uses of capital, Company performance, and other risks and uncertainties detailed in T-Mobile's Annual Report on Form 10-K for the fiscal year ended December 31, 2023, including in the sections thereof captioned "Risk Factors" and "Cautionary Statement Regarding Forward-Looking Statements," as well as in its subsequent reports on Form 8-K and Form 10-Q, all of which are filed with the SEC and available at www.sec.gov and www.t-mobile.com. Forward-looking statements are based on current expectations and assumptions, which are subject to risks

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. T-MOBILE US, INC. December 13, 2024 /s/ Peter Osvaldik Name: Peter Osvaldik Title: Executive Vice President and Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR