Tuesday, June 21, 2022

Rogers, Shaw to Sell Freedom Mobile to Quebecor

By John Celentano, Inside Towers Business Editor
Rogers Communications (NYSE: RCI), Shaw Communications (NYSE: SJR) and Quebecor Inc. announced after markets closed on Friday a deal to sell Freedom Mobile to Montreal-based Quebecor for approximately $2.2 billion. The deal is intended to appease federal regulators opposed to Rogers proposed takeover of Shaw. Quebecor is a diversified media and telecommunications company serving customers in Québec and eastern Canada. The sale to Quebecor covers all of Freedom Mobile's branded wireless and internet customers, infrastructure, spectrum, and retail sites. More importantly, it expands Quebecor’s reach into key markets in Ontario, and Alberta and British Columbia in western Canada. 

Toronto-based Rogers made a $20-billion bid for Calgary-based Shaw on March 15, 2021, as Inside Towers reported. Rogers and Shaw are competitors but as part of the proposed acquisition, Rogers offered to divest Shaw's Freedom Mobile unit to allay competition concerns. The Freedom Mobile deal comes after Canada’s antitrust regulator reiterated its opposition of Rogers' plan to purchase Shaw, expressing concerns that the acquisition would result in greater market concentration and less wireless competition in Canada. Continue Reading

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