Court Approves Rogers-Mobilicity Takeover Deal for $465M

An Ontario court’s approval for Rogers to buy Mobilicity is expected to trigger a series of transactions that affects wireless customers in three provinces.

A man speaks on a mobile phone outside the Rogers Communications Inc.’s annual general meeting of shareholders in Toronto on April 22, 2014. An Ontario court’s approval for Rogers to buy Mobilicity is expected to trigger a series of transactions that affects wireless customers in three provinces. The Canadian Press/Darren Calabrese

TORONTO—An Ontario court gave its approval for Rogers Communications to buy Mobilicity for about $465 million on Wednesday, June 24, a deal that is expected to trigger a series of transactions that affects wireless customers in Ontario, Alberta, and British Columbia.

Rogers will also sell some spectrum to Wind Mobile, which has emerged as one of the leading challengers to Canada’s three biggest wireless companies, and complete a previously announced purchase of spectrum from Shaw.

Rogers said its takeover offer for Mobilicity has also been approved by Industry Canada, which had blocked previous attempts for Telus to buy Mobilicity. It still requires approval from the Competition Bureau.

Judge Frank Newbould of the Ontario Superior Court cited an old English proverb to describe the near-end of Mobilicity’s two-year search for a suitor.

This will be the end of a long saga that will help strengthen the Canadian wireless industry.

— Mobilicity chief restructuring officer William Aziz