Takeover of Shaw by Rogers: no progress with mediation

Mediation between Rogers Communications, Shaw Communications and the Commissioner of Competition failed to change the latter's position regarding the merger of the two companies.

Takeover of Shaw by Rogers: no progress with mediation

Mediation between Rogers Communications, Shaw Communications and the Commissioner of Competition failed to change the latter's position regarding the merger of the two companies.

• Read also: Rogers and Shaw merger on hiatus

• Read also: Quebecor announces the acquisition of Freedom Mobile

Held on July 4 and 5, the mediation "did not resolve the objections of the commissioner to the proposed merger", indicated the two companies concerned in a press release on Wednesday.

Remember that the Competition Bureau opposed the proposed acquisition last May, believing that this merger would have significant consequences for consumers with higher prices and reduced quality of service.

Conversely, the Canadian Radio-television and Telecommunications Commission (CRTC) had given the green light to the takeover.

The merger was therefore put on hold pending the hearing of the Competition Tribunal. In order to put the odds on its side, Shaw decided to divest itself of Freedom Mobile, which was finally acquired by Quebecor on June 17.

“Rogers and Shaw intend to continue to work constructively with the Commissioner to underscore the many benefits of the merger for all Canadians, including maintaining a strong and sustainable fourth wireless carrier across Canada through the proposed sale of Freedom Wireless to Quebecor Inc.," he noted.

The review process will continue and Rogers and Shaw have maintained that discussions with the commissioner can continue “at any time”.

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