T-Mobile Receives Surprise $15 Billion Bid From Illiad

T-Mobile confirmed yesterday that is has received a $15 billion offer from French telecom company Illiad to acquire a majority stake in the wireless company. Sprint, the third largest US cellphone carrier has reportedly been in talks with T-Mobile for months, but a deal still hasn't been announced. Since Illiad is smaller than T-Mobile, it can only afford to buy 57% percent of the company at $33 per share. This is far less than Sprint's supposed $40 per share offer, but Illiad claims that the shares will be worth $40.50 as the combined companies will be able to expand more rapidly or cut costs. While the offer from Illiad was a surprise, it does make sense for another suitor to step in as it is widely believed that US regulators will block the T-Mobile/Sprint tie-up due to competition issues. The Deal's Amanda Levin reports from New York.