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T-Mobile Is Looking Optimistic Despite the Sprint Deal Collapse

Reuters

U.S. wireless carrier T-Mobile U.S. said on Wednesday its board authorized a buyback program, its first-ever, for up to $1.5 billion of the company’s common stock.

The announcement comes a month after CFO Braxton Carter said the company would propose a “significant” share repurchase, a signal that the third biggest carrier in the United States is confident in its outlook after the collapse of deal talks with Sprint s .

Deutsche Telekom AG, which owns about 64% in T-Mobile tmus , also plans to purchase additional shares, T-Mobile said on Wednesday.

The issue of control was one of several deal-breakers in the T-Mobile-Sprint talks.

By participating in a buyback Deutsche Telekom would concentrate its T-Mobile holding, strengthening its hand in any future merger talks.

The stock repurchase program would take place through Dec. 31, 2018, T-Mobile said on Wednesday.