secwatch.observer — SEC 8-K summary
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Issuer:     TELEPHONE & DATA SYSTEMS INC /DE/ (TDS)
CIK:        0001051512
Form:       8-K
Filed at:   2024-05-28T23:59:59+00:00
Accession:  0001104659-24-065326
Event type: m_and_a
Sentiment:  neutral
Materiality: 0.90
Item codes: 8.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

TDS board approves sale of UScellular wireless ops to T-Mobile for $4.4B; cuts common dividend 80%
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- Sale of UScellular wireless ops and ~30% of spectrum to T-Mobile for $4.4B in cash and assumption of up to ~$2B debt; deal expected to close mid-2025.
- TDS (83% owner of UScellular) has consented; transaction subject to regulatory approvals and customary conditions.
- TDS declares Q2 2024 common dividend of $0.04/share, about 20% of prior level (80% cut); preferred dividends unchanged at $0.4140625/depositary share for Series UU and $0.375 for Series VV.
- UScellular retains ~70% of spectrum assets; tower business to have T-Mobile as tenant on 2,015 incremental towers for at least 15 years.
- TDS plans to use proceeds for fiber build-out and leverage reduction; may also return capital to shareholders.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1051512/000110465924065326/0001104659-24-065326-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1051512/000110465924065326/tm2415307d2_8k.htm
  HTML page:      https://secwatch.observer/filing/0001104659-24-065326

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