Late Friday evening, Rogers, Shaw, and Quebecor jointly introduced that they have achieved an settlement in which Independence Cellular will be bought to Quebecor, dad or mum corporation of Videotron, on what they explain as a “cash-free of charge, financial debt-free basis at an company value of C$2.85 billion”, which they hope will allow for them apparent the remaining regulatory hurdle and allow the Rogers acquisition of Shaw to carry on.
The press release notes, “The events strongly believe that the agreement efficiently addresses the issues lifted by the Commissioner of Competitors and the Minister of Innovation, Science and Sector [sic] about viable and sustainable wireless level of competition in Canada.”
The sale incorporates all of Freedom Cell branded wireless and Web buyers, its infrastructure, spectrum, and retail places. In addition, Rogers and Shaw have agreed to offer transportation providers, such as backhaul and spine, as nicely as roaming solutions, to Quebecor.
The transaction is conditional, necessitating clearance from both the Levels of competition Bureau and Innovation, Science and Financial Growth Canada (ISED) to commence. Need to it be accepted, it is expected to shut all-around the similar time as the Rogers/Shaw transaction.
“This is a turning stage for the Canadian wi-fi industry,” reported Pierre Karl Péladeau, president and chief government officer of Quebecor, in a assertion. “Quebecor’s Videotron subsidiary is the solid 4th participant who, coupled with Freedom’s good footprint in Ontario and Western Canada, can produce concrete advantages for all Canadians. We have always considered that for there to be healthier competitors in wi-fi expert services only a participant with a demonstrated monitor document can correctly enter the market place. This is a benefit-additional transaction for all people and the Canadian overall economy. Soon after fifteen several years of expansion in the Quebec wireless market, we have demonstrated our know-how, our means to innovate and our monetary energy. Now we are getting another phase to provide the chances our consumers previously appreciate to individuals throughout Canada.”