Competition Bureau's case against Rogers-Shaw leaves some industry watchers scratching their heads

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\u0027Is that a sustainable position for a government agency?\u0027

“Given what’s going on now with the regulatory review of its sale, one must wonder with hindsight if Shaw ever would have bought Wind ,” Shine wrote, adding that although the competition authority paints Shaw as a maverick wireless player, the reality is that the veteran cable operator used wireless to shore up those dominant operations.

“Globalive launched Freedom’s predecessor and was deemed a reasonable owner of the business until it sold to private equity who quickly flipped Wind to Shaw,” Shine wrote. “Why would Globalive suddenly not be a reasonable buyer of Freedom and by extension some other party with deep pockets and a commitment to grab the baton and pursue the next phase of competition for Freedom into the 5G age?”

From the outset, analysts have speculated that Quebecor would be both a willing buyer of the full package of assets, and a candidate preferred by government. However, past scraps with Rogers over issues include network-sharing arrangements, combined with Quebecor CEO Pierre Karl Péladeau’s public declaration that he wished to shake up the dominance of Rogers, Bell and Telus in Canada’s wireless market and bring down prices for consumers, made Quebecor a less popular dance partner.

In March, RBC Capital Markets analyst Drew McReynolds said there were two scenarios in which he could see Quebecor walking away with the prize. In one, the Montreal-based telco would prevail in the first round, while in the other, the assets would be sold to a “Rogers remedy partner” — whatever transaction would get the Shaw deal done — and could eventually be picked up by Quebecor.Article content

 

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I thought they agreed to get rid of Freedom Mobile though. Wasn't that their problem with this deal?

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