T-Mobile US agreed a deal in principle to offload its 800MHz spectrum assets to Grain Management, with the operator to receive a combination of cash and all of the private investment company’s 600MHz spectrum licences in return.

In a statement, T-Mobile explained Grain, in partnership with construction company Black & Veatch, would market the 800MHz spectrum holdings to utilities, critical infrastructure industry operators and rural and regional companies to “meet crucial unfulfilled telecommunications needs”.

For T-Mobile, the deal will enable it to beef up its 600MHz holdings, spectrum which is already “creating better customer experiences”, its Dirk Mosa, SVP, spectrum, partnerships and acquisitions said in the statement.

T-Mobile notably spent big on 600MHz spectrum in 2022, splashing out $3.5 billion, adding to $8 billion it spent in an auction in 2017. Most recently, it agreed a deal to acquire most of USCellular’s mobile assets, which also includes 600MHz holdings.

Mosa added the proposed deal with Grain gives T-Mobile the opportunity to work with the investment company to “optimise spectrum for consumers by exploring the possibilities of how emerging technologies can support mission critical infrastructure and communications”.

The deal is expected to be finalised by the end of April 2025 and will then be subject to regulatory approval.