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 government and opposition bureau must block Quebecor from getting Shaw Communications’ wireless business enterprise, telecom operators Bell Inc and Telus claimed in different letters to the federal government and the agency, people today acquainted with the issue advised Reuters on Thursday.

Offering Shaw’s wireless organization to Quebecor experienced been viewed as a way to take care of anti-rely on issues 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 background of not using govt resources these as spectrum that it has acquired.

The businesses say this defeats the reason of competition, which the federal government is trying to realize via this sale of Liberty Cell, the resources extra.

A Quebecor spokesperson claimed the go by Bell and Telus is a ploy to thwart competitiveness that “operates counter to the general public interest and the professional-competitiveness coverage that the Governing administration of Canada has pursued for many many years,” a policy the spokesperson credited for providing lessen charges in Quebec.

Previous week, a federal governing administration resource informed Reuters that Montreal-primarily based Quebecor Inc is a credible purchaser for the Independence Cell device. A sale of the device to a credible bidder is noticed critical to support Rogers’ clinch its bid for Shaw. Canada’s antitrust agency has blocked Rogers’ deal to get Calgary-based mostly Shaw on the grounds it would decrease competitors in the wi-fi field, in a region that presently has some of the world’s highest wireless fees.. It also rejected the future purchasers offered by Rogers-Shaw to promote Independence mobile on the grounds that the potential buyers will not be competitive.

Bell, Telus, the level of competition bureau declined to remark. Canada’s Industry Ministry experienced no immediate comments.

Aside from the bureau, the deal necessitates acceptance from the telecommunications fee, Canada’s Ministry of Innovation, Science and Financial Growth.

The sources declined to be discovered as the make any difference is not general public.

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

Copyright 2022 Thomson Reuters.