SoftBank Group Corp.'s talks to merge U.S. unit Sprint Corp. with T-Mobile US Inc. have hit a serious snag, according to sources familiar with the matter, throwing the deal into jeopardy after months of talks.
In the past three days, the companies have been unable to get past differences over valuation, according to a source close to T-Mobile parent Deutsche Telekom AG, who asked not to be identified discussing private information.
Meanwhile, several members of SoftBank's board have raised concerns about giving up control of the U.S. wireless business, another source said.