The Competition Bureau has blocked Rogers’ $20-billion bid for Shaw, saying it would undermine competition in a country that already has some of the world’s highest wireless rates.
Rogers asked Quebecor, a Montreal-based telecommunications and media company, to bid for Shaw’s wireless business, theon Friday, the same day the Rogers and Shaw said they had been informed the competition watchdog would block the merger. “If it were to buy Freedom Mobile, the government would consider the Rogers-Shaw merger on its merits, especially if it ensured competition and more affordable cell plans for Canadians,” a government source, who was not authorized to speak on the record, told Reuters.The competition watchdog said on Tuesday that concessions offered by Rogers to acquire Shaw were insufficient and that the merger, as proposed, would undermine competition.
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