Rogers Communications Inc And Shaw Communications Inc said on Monday that they had extended the deadline for the $26 billion merger from late January to February 17, as the companies await government approval.
The deal needs final approval from Industry Minister Francois-Philippe Champagne to transfer spectrum licenses held by Shaw’s Freedom Mobile unit to Quebecor Inc’s Videotron.
The sale of Freedom Mobile to Videotron has been instrumental in resolving antitrust concerns surrounding the Rogers-Shaw merger that would create Canada’s No. 2 telecom operator. The sale is also now expected to close by February 17.
Canada’s antitrust tribunal approved Rogers’ bid for rival Shaw’s in December, ending a lengthy legal battle with regulators and months of uncertainty over the deal.
Earlier this month, a Canadian court previously rejected efforts to overturn the Competition Bureau’s approval.
The antitrust agency had failed to convince the court that the transaction was bad for consumers in a country where wireless bills are already among the highest in the world.
Global News’ parent company Shaw Communications and Corus Entertainment are owned by the Calgary-based Shaw family.
(Reporting by Yuvraj Malik in Bengaluru; Editing by Rashmi Aich, Saumyadeb Chakrabarty and Sriraj Kalluvila)