December 3, 2013 10:34 am
WIND Mobile, Public Mobile and Mobilicity all entered the Canadian wireless space during the 2008 spectrum auction. Many millions have been invested and it seems the end is near — consolidation is happening. Public Mobile was recently given the green light by the Competition Bureau for TELUS to acquire 100% of their business (spectrum and 280,000 wireless subs), and now Mobilicity is on the cusp of holding an auction to sell off their assets.
Yesterday, December 2nd, was the final date for those interested parties to submit their intent to participate in Mobilicity’s December 9th auction. It’s rumoured that Mobilicity is seeking $350 million for both its wireless spectrum and 189,000 wireless subscribers. First up is rival new entrant WIND Mobile — which is not too much of a shocker considering Tony Lacavera, WIND’s CEO, stated back in June that there’s a “renewed opportunity for discussion” to purchase Mobilicity when the Industry Minister declined TELUS’ $380 million bid.
In a statement in the Globe and Mail today, Lacavera stated “Wind requires additional spectrum in order to advance our business plan for next generation wireless services and compete long-term on a level playing field with the Big Three. Wind has always maintained the need for new entrants to consolidate and work together to compete against the oligopoly.”
The statement does not outright confirm their intentions to participate, but surely brings a heavy dose of interest in potentially acquiring Mobilicity’s assets. No other word yet on other participating carriers or businesses, but we’ll likely hear of the full list before the auction takes place on December 9th.
Update: WIND Mobile sent us this official statement on the possibility of bidding in Mobilicity’s upcoming auction: “Like any other organization, WIND is always considering options and evaluating any opportunities available to us. In regards to the Mobilicity auction, we are currently reviewing the assets on offer at this time and investigating what will be most beneficial to us long-term.”