Market Insider

Sprint soars 7% after announcing partnership with 'Pokemon Go' developer

Pokemon Go on Apple iPhones
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Shares of Sprint gained 7 percent Wednesday after the carrier announced an exclusive wireless partnership with Niantic, the publisher and developer of "Pokemon Go."

The two companies are collaborating to create "a special 'Pokemon Go' experience" in more than 10,500 Sprint, Boost Mobile and "Sprint at RadioShack" locations across the U.S. Beginning Dec. 12, players can visit select locations and engage with the game by collecting Pokeballs and eggs to help them advance in the game.

After the "Pokemon Go" launch in July, it quickly became the biggest mobile game in U.S. history. The augmented reality game reached no. 1 on the Apple App Store within 24 hours and attracted just under 21 million daily active users across the country. Within three days, the game had attracted more users than Twitter and rose to the top of the App Store's revenue charts.

Niantic had previously struck a deal with McDonald's in Japan to turn 3,000 of the fast-food restaurants into "gyms" where players can battle each other. The game brought in $200 million in net revenue globally on the App Store and Google Play in its first month, beating other top games such as "Candy Crush" and "Clash Royale."

"This collaboration with "Pokemon Go" brings together two innovative, groundbreaking and creative brands that will offer trainers greater accessibility and destinations to advance their game," Sprint CEO Marcelo Claure said in a news release.

On Tuesday, Sprint's majority owner, SoftBank, announced a deal to invest $50 billion in the U.S., aiming to create 50,000 jobs. The stock climbed as much as 6 percent before paring those gains and ending the session about 1.5 percent higher on the day. SoftBank owns about 80 percent of the telecom company, and bought British chipmaker ARM Holdings earlier this year.

Sprint's stock is up more than 140 percent year to date, according to FactSet.

— CNBC's Arjun Kharpal, Berkely Lovelace and Jacob Pramuk contributed to this report.