Sprint has reached an agreement to acquire PCS spectrum from tier-two operator US Cellular for US$480 million.

The US number-three operator will acquire 20MHz of spectrum in parts of Illinois, Michigan, Missouri and Ohio (including Chicago) as well as a 10MHz block in St. Louis. The transaction will also see 585,000 US Cellular customers switch to Sprint.

The spectrum will supplement Sprint’s coverage in these areas as part of its Network Vision strategy to roll out 4G LTE services across the US.

“Acquiring this spectrum will significantly increase Sprint’s network capacity and improve the customer experience in several important Midwest markets,” said Sprint CEO Dan Hesse.

The spectrum sale still requires approval from the Department of Justice and Federal Communications Commission and is expected to be completed by the middle of next year.