Rogers Communications Intends To Oppose Commissioner of Competition’s Objection To Merger With Shaw

Rogers Communications (TSX: RCI.B) announced on Saturday that it was notified of the Commissioner of Competition’s intention to oppose the proposed merger with Shaw Communications Inc. The $26-billion pending transaction, originally slated to close by first half of 2022, is now being extended until July 31, 2022. 

The agency has notified the firms its intent to file applications to the Competition Tribunal opposing the merger. According to Rogers, the objection arises from concerns “regarding the possible impact of the transaction on Canada’s competitive wireless market.”

“Rogers and Shaw will oppose the application to prevent the Transaction to be made by the Commissioner of Competition, while continuing to engage constructively with the Competition Bureau in an effort to bring this matter to a resolution and ensure that the transaction’s benefits can be realized by all Canadians,” the company said in its statement.

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

The companies also promised to continue seeking approval from the Ministry of Innovation, Science and Economic Development, which also brought the same competition concerns along with the commissioner. However, the transaction has already gotten the approval from Shaw shareholders, the Court of Queen’s Bench of Alberta, and the Canadian Radio-television and Telecommunications Commission.

The Canadian media conglomerate recently reported its 2021 financials, toplined by an annual service revenue of $12.53 billion. It estimates 4%-6% increase in revenue for 2022.

Rogers Communications Class B Shares last traded at $66.96 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.

Video Articles

Uranium Supply Crisis: Miners Won’t Meet What’s Coming | Dev Randhawa – F3 Uranium

Gold’s Run Isn’t Over — It’s Just Getting Ignored | Tim Smith – US GoldMining

Gold Demand Is Real This Time | John-Mark Staude – Riverside Resources

Recommended

Discovery Silver in Advanced Talks to Acquire Barrick’s Last Canadian Gold Mine

Emerita Reports Aznalcollar Public Tender Trial Hearings Have Concluded, Verdict Expected This Fall

Related News

Over 60,000 People Sign Petition To End Canada’s Telecom Oligopoly

Canadians are calling on the Canadian Radio-television and Telecommunications Commission (CRTC) to end the domination...

Monday, August 15, 2022, 02:19:00 PM

Rogers Layoffs Add to Growing Wave of Cuts in Canada’s Radio Sector

Rogers Sports & Media, a division of Rogers Communications (TSX: RCI.B), has announced layoffs affecting...

Thursday, November 21, 2024, 10:14:00 AM

Nationalize The Telco’s For The Sake of Capitalism – Part 1: Rogers

Longtime readers may remember that, in the fall / winter of 2021, after the Rogers...

Sunday, April 23, 2023, 09:00:00 AM

Is Rogers Quietly Laying Off Employees?

Concerns are mounting over the possibility of quiet layoffs at Rogers Communications (TSE: RCI.B) during...

Thursday, May 2, 2024, 01:41:00 PM

Competition Bureau to Pay $13M to Telecom Giants After Failed Merger Block

In a significant ruling, Canada’s merger court has directed the Competition Bureau to compensate Rogers...

Wednesday, August 30, 2023, 02:12:00 PM