Sprint has agreed to acquire PCS spectrum and customers from U.S. Cellular for $480 million. The deal includes parts of Illinois, Indiana, Michigan, Missouri and Ohio including the Chicago and St. Louis markets. 

Company will use additional spectrum to supplement its coverage in acquired areas as it continues to deploy its Network Vision upgrade and roll out 4G LTE nationally.

Under the terms of the agreement, Sprint will acquire 20 MHz of PCS spectrum in the 1900 MHz band in various Midwest markets including Chicago, South Bend, Ind. and Champaign, Ill. and 10 MHz of PCS spectrum in the St. Louis market. In addition, the transaction involves approximately 585,000 U.S. Cellular customers. U.S Cellular will continue its business operations outside of these markets following the closing.

The transaction is subject to regulatory approvals by the Department of Justice and the Federal Communications Commission and is expected to close in mid-2013.