Exclusive-Bell, Telus Lobby Canada to Stop Sale of Shaw’s Wireless Business to Quebecor -Sources | Investing News

By Divya Rajagopal and David Ljunggren

TORONTO (Reuters) -The Canadian federal govt and opposition bureau need to block Quebecor from getting Shaw Communications’ wi-fi small business, telecom operators Bell Inc and Telus said in different letters to the govt and the agency, men and women acquainted with the issue instructed Reuters on Thursday.

Selling Shaw’s wi-fi business enterprise to Quebecor experienced been noticed as a way to solve anti-belief challenges posed by Rogers Communications’ proposed C$20 billion ($15.6 billion) purchase of Shaw. But in their letters, Bell and Telus have objected the sale on the grounds that Quebecor has a record of not making use of federal government resources these types of as spectrum that it has obtained.

The companies say this defeats the intent of opposition, which the govt is trying to obtain as a result of this sale of Independence Mobile, the sources added.

A Quebecor spokesperson claimed the move by Bell and Telus is a ploy to thwart competitors that “runs counter to the public interest and the pro-levels of competition coverage that the Federal government of Canada has pursued for numerous yrs,” a policy the spokesperson credited for providing decrease costs in Quebec.

Final week, a federal govt source informed Reuters that Montreal-based mostly Quebecor Inc is a credible buyer for the Independence Mobile device. A sale of the unit to a credible bidder is seen important to aid Rogers’ clinch its bid for Shaw. Canada’s antitrust company has blocked Rogers’ deal to acquire Calgary-centered Shaw on the grounds it would minimize level of competition in the wireless market, in a country that already has some of the world’s maximum wireless rates.. It also rejected the prospective consumers presented by Rogers-Shaw to offer Liberty cell on the grounds that the customers will not be competitive.

Bell, Telus, the level of competition bureau declined to remark. Canada’s Business Ministry had no rapid reviews.

Apart from the bureau, the offer involves approval from the telecommunications fee, Canada’s Ministry of Innovation, Science and Economic Improvement.

The sources declined to be determined as the issue is not public.

(Reporting by Divya Rajagopal and David LjunggrenAdditional reporting by Steve SchererEditing by Denny Thomas and David Gregorio)

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