TekSavvy puts itself up for sale amid industry turmoil

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It has hired bankers and launched a formal sale process, says sources familiar with the discussions

TekSavvy Solutions Inc. is looking for a new owner, amid a recent wave of acquisitions of independent internet service providers by larger telecoms.

Independent internet service providers , also known as wholesale-based providers, rent space on incumbents’ networks at regulated rates, then sell service to their own customers. Telus, meanwhile, acquired Altima Telecom and Start.ca for undisclosed amounts, while Quebecor Inc. snapped up VMedia, an independent internet and television provider serving customers primarily in Toronto, in July of 2022. The price of the VMedia acquisition was also not disclosed.

In 2021, the Canadian Radio-television and Telecommunications Commission reversed its earlier decision to reduce wholesale rates, which led to higher costs for independent ISPs.

 

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