October 4, 2023

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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 federal government and competition bureau should really block Quebecor from shopping for Shaw Communications’ wireless company, telecom operators Bell Inc and Telus reported in individual letters to the govt and the agency, people common with the subject instructed Reuters on Thursday.

Providing Shaw’s wireless business enterprise to Quebecor had been seen as a way to resolve anti-rely on issues posed by Rogers Communications’ proposed C$20 billion ($15.6 billion) invest in of Shaw. But in their letters, Bell and Telus have objected the sale on the grounds that Quebecor has a background of not using authorities sources this kind of as spectrum that it has attained.

The organizations say this defeats the intent of competition, which the govt is striving to realize by means of this sale of Freedom Cellular, the resources extra.

A Quebecor spokesperson mentioned the transfer by Bell and Telus is a ploy to thwart competition that “runs counter to the public interest and the professional-competitiveness coverage that the Govt of Canada has pursued for numerous a long time,” a policy the spokesperson credited for providing decrease selling prices in Quebec.

Previous 7 days, a federal federal government supply instructed Reuters that Montreal-primarily based Quebecor Inc is a credible buyer for the Independence Cellular unit. A sale of the device to a credible bidder is found crucial to enable Rogers’ clinch its bid for Shaw. Canada’s antitrust agency has blocked Rogers’ deal to purchase Calgary-dependent Shaw on the grounds it would cut down opposition in the wireless marketplace, in a region that presently has some of the world’s greatest wi-fi fees.. It also rejected the prospective prospective buyers presented by Rogers-Shaw to sell Freedom cellular on the grounds that the customers will not be competitive.

Bell, Telus, the competitiveness bureau declined to remark. Canada’s Business Ministry had no quick remarks.

Apart from the bureau, the deal calls for approval from the telecommunications commission, Canada’s Ministry of Innovation, Science and Financial Growth.

The sources declined to be recognized as the matter is not public.

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

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