Sprint taps US$1.2b in financing from SoftBank leasing unit

New York

SPRINT Corp is taking US$1.2 billion in financing from a newly created phone leasing company set up by majority owner SoftBank Group Corp to help lower equipment costs and relieve pressure on the unprofitable carrier's dwindling cash supply.

As a result of the deal, Sprint lowered its fiscal 2015 adjusted earnings before interest, taxes, depreciation and amortisation to US$6.8 billion to US$7.1 billion, down from a previous range of US$7.2 billion to US$7.6 billion previously, according to a statement on Friday.