Quebecor made offer to buy Corus Entertainment months ago, but struggling media company has not yet responded, source says

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Corus News

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The source did not specify terms of Quebecor’s offer nor any details around how the deal would be structured

For Quebecor, acquiring Corus could generate operational synergies by reducing operating costs and increasing its purchasing power when acquiring content, the source said.Representatives of Quebecor met approximately six months ago with Corus executive chair Heather Shaw, according to the source.

The Globe and Mail is not identifying the person because they are not authorized to speak publicly about the matter. Véronique Mercier, a spokesperson for Quebecor, said in a statement that the company does “not comment publicly on potential acquisitions, as this information is of a competitive and forward-looking nature.”

Corus, which is carrying more than $1-billion of debt, has been aggressively trimming costs, including a recent work-force reduction of more than 800 jobs, or 25 per cent of its work force. Most of its debt is due for repayment within the next few years, with $290-million in bank debt set to reach maturity in 2027 and $500-million in bonds due the following year.

“Morningstar DBRS believes securing new lifestyle content to add to the existing Canadian content may place added pressure on Q1 F2025 cash flow as these rebranded channels are expected to launch on Jan. 1, 2025.”

 

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