Mobilicity Says “Yes” To $465M Takeover from Rogers
If you’re a Mobilicity client, it looks like your bills may get a little pricier in the future as the Canadian wireless company has accepted a $465-million takeover from Rogers Communications inc.
According to an article by the CBC, Mobilicity has been under creditor protection since April 2013, has approximately 150,000 customers in Ottawa, Toronto, Calgary, Edmonton and Vancouver and owns valuable infrastructure, which was especially appealing for Rogers.
It will be interesting to see if the government fully approves this deal, due to the fact that Mobilicity has tried to sell itself twice before to Telus, each time being finally denied as it would have consolidated too much wireless infrastructure in the hands of Canada’s biggest retail players.
Mobilicity twice before sold itself to Telus before the federal government quashed those deals, as it would have consolidated too much wireless infrastructure in the hands of too few players.
According to insiders and discussed heavily through reddit, although the deal is not final, and Rogers has not explicitly said rates for Mobilicity clients will increase, it’s very likely.
Source: CBC News