T-Mobile is dusting off a device payment plan securitization that the US wireless carrier shelved in early August when financial markets were roiled by a disappointing US jobs report that stoked recession worries.
Now that credit conditions have rebounded, the Deutsche Telekom-backed company decided to revive its second ABS issue of 2024, a person familiar with the deal said.
Yesterday, the company filed the deal named T-Mobile US Trust 2024-2 with the Securities and Exchange Commission.
The person familiar with the deal said pre-marketing will begin later this week and pricing is slated for next week.
The offering will have a structure similar to the one T-Mobile shelved earlier this year, the person said. That planned deal featured a US$500m Triple A rated note, which carried a weighted-average life of 2.46 years.
There were two tranches that were not syndicated: a US$30.67m Double A rated class and a US$30.67m Single A rated security. Their WALs were 3.09 years and 3.10 years, respectively.
RBC is once again the left lead bank for the issue, according to the filing.
In February, T-Mobile priced its first asset-backed deal of the year, raising US$500m.
T-Mobile and rival Verizon have together sold US$6.4bn of bonds backed by payments from mobile customers this year, eclipsing the US$4.6bn total in 2023, IFR data show.