Rogers Communications Inc. and Shaw Communications Inc. said it would object to a Competition Court hearing but agreed not to shut down their $26 billion merger until objections from the Competition Bureau be solved.
In a statement Monday afternoon, Rogers and Shaw said the agreement with the competition commissioner, Matthew Boswell, “enables the parties to focus on addressing (his) concerns with the transaction in order to achieve a final outcome.” agreed upon.”
Competition Bureau seeks to block $26 billion Rogers-Shaw merger over price, service concerns
On May 9, The competition commissioner has applied to block Rogers’ purchase of Shaw, arguing that the transaction would result in poorer service and higher prices for consumers.
He also alleges that excluding Shaw as a competitor would detract from the competitive advances made in Canada’s telecommunications sector over the years.
NDP opposes Rogers-Shaw merger, says Singh
Rogers and Shaw said they believe their transaction is in the best interest of Canadian consumers, businesses and the economy and that the settlement is the “best route” to ensure those interests are realized. show up quickly.
“If a final Court hearing is required to resolve the commissioner’s application to block the transaction, Rogers and Shaw intend to oppose it,” they said in a press release, adding that further that an expedited schedule of that application is expected to be established soon.
In their agreement with the Competition Bureau, the two telecoms said they disagreed with the commissioner’s conclusion.
In a statement of its own, the Competition Bureau said Rogers and Shaw had agreed to a preliminary order that would prevent them from closing the proposed settlement “until the Competition Court hears and decides on the commissioner’s challenge. “
It said that Rogers had also agreed not to limit Shaw’s ability to operate, maintain, enhance or expand its wireless business.
Earlier this month, Rogers and Shaw announced that they would push for the deal and resist the commissioner’s efforts to block it.
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