Saturday, May 31, 2025

Latest

Rogers Communications Agrees To Put Shaw Merger On Hold In Lieu Of Commissioner of Competition Injunction

The controversial merger between Rogers Communications (TSX: RCI.B) and Shaw Communications Inc. has seemingly found a workaround regarding the interim injunction filed by the Commissioner of Competition. The Canadian communications firms have agreed to put the transaction on hold until the commission’s issues have been resolved.

The two companies agreed not to close yet the $26-billion pending transaction, which was originally slated to close by first half of 2022 and has been extended to July 31, 2022. The standstill remains until “either a negotiated settlement is agreed with the Commissioner or the Competition Tribunal has ruled on the matter.”

“As a result, there is no need for the Tribunal to hear the Commissioner’s application for an interim injunction,” the company said in its statement. 

The agency is seeking the injunction after it has manifested its intent to oppose the merger. According to Rogers, the objection arises from concerns “regarding the possible impact of the transaction on Canada’s competitive wireless market.”

To address the concerns, the firms are working on fully divesting Rogers’s wireless business, Freedom Mobile, which is a direct competitor of Shaw.

Aside from this current hurdle, the transaction also has a pending approval from the Ministry of Innovation, Science and Economic Development, which also brought the same competition concerns.

However, the transaction has already received approvals from Shaw shareholders, the Court of Queen’s Bench of Alberta, and the Canadian Radio-television and Telecommunications Commission.

Rogers Communications Class B Shares last traded at $64.95 on the TSX.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

How To Profit From $3300 Gold? An Inside Look At A Massive 300,000 Oz Project | Martino De Ciccio

We’re At The Start of a Great Silver Boom | Ross McElroy & Andy Bowering – Apollo Silver Corp

Equinox Gold Q1 Earnings: When Everything Goes Wrong

Recommended

ESGold Begins Concentration Tests Ahead Of First Production

Sterling Metals Hits 0.21% Copper Over 482.8 Metres In First Drilling At Soo Copper project

Related News

Court Asks Rogers, Shaw, Competition Bureau To “Reflect” After Mediation Failed

The Canada Federal Court has requested that counsel for Rogers Communications (TSX: RCI.B), Shaw Communications...

Tuesday, November 1, 2022, 10:44:00 AM

BMO Sees Positivity In Latest Rogers Communications Financial Results

On October 21st at 11:28 PM, Rogers Communications (TSX: RCI) announced a change of directors...

Friday, October 29, 2021, 04:05:00 PM

Tables Turn on Shaw Family as Rogers Deal Threatens Their Media Holdings

The Shaw family, once a powerhouse in Canadian telecommunications, now finds itself on the receiving...

Wednesday, August 14, 2024, 11:14:00 AM

Rogers Implements Voluntary Buyouts For Employees Following Shaw Merger

In an effort to streamline its corporate operations after acquiring Shaw, Rogers Communications (TSX: RCI.B)...

Wednesday, July 5, 2023, 11:50:00 AM

Rogers Expects Charges Of $150 Million From Outage Discounts

What’s the cost of an outage that brings a major portion of the economy to...

Wednesday, July 27, 2022, 10:42:48 AM