Canada’s antitrust regulator knowledgeable Rogers Communications (NYSE:RCI) and Shaw Communications (NYSE:SJR) of its intention to oppose the $16 billion transaction.
Rogers (RCI) and Shaw mentioned they continue to be dedicated to the deal, based on a joint assertion Saturday. Rogers and Shaw plan to oppose the appliance to stop the deal made by the Commissioner of Competitors, whereas persevering with to “interact constructively” with the Competitors Bureau.
The businesses have been attempting to treatment the regulator’s issues via proposing the total sale of Shaw’s wi-fi enterprise, Freedom Cellular. Globalive Capital supplied C$3.75 billion to purchase Freedom Cellular from Shaw (SJR), the Globe and Mail reported in March.
The Canadian antitrust opposition comes after The Canadian Radio-television and Telecommunications Fee agreed to permit the mix in March.
Shaw and Rogers agreed to increase the surface date for the transaction till July 31 and the businesses will will proceed to hunt approval of the Transaction from the Ministry of Innovation, Science and Financial Improvement.
Approval from Canada’s federal innovation division may additionally show a tough activity as Innovation, Science and Business Minister François-Philippe Champagne indicated in feedback in March.
“The wholesale switch of Shaw’s wi-fi licenses to Rogers is basically incompatible with our authorities’s insurance policies for spectrum and cellular service competitors, and I’ll merely not allow it,” Champagne mentioned on the time.
Rogers (RCI) introduced its settlement to accumulate Shaw (SJR) in March of final yr.