Mobilicity stated that the proposed $350 acquisition with TELUS is “a good outcome” and “serve the best interests of Mobilicity’s customers and employees.” Bay Street analysts suggested that the deal is ‘dead on arrival’ and the government will be quick to press the deny button a third time.
When Industry Minister James Moore denied TELUS the second time he declared that “We will not waive this condition of licence and will not approve this, or any other, transfer of set-aside spectrum to an incumbent ahead of the five-year limit.” Well, the 5-year limit is over and Mobilcity is edging ever so slowly to its extinction.
Mobilicity and TELUS announced this proposed deal last Friday and Moore stated today that “I will have a comment in more detail soon… With that particular transaction I’ll have more to say on that soon.” Moore was recently in San Francisco and Palo Alto talking about Canada’s digital strategy at the head office of Google, Facebook, Twitter, Microsoft and other Canadian companies in the area.
Mobilicity, who says it’s “business as usual,” has 165,000 active subscribers and operates in Toronto, Vancouver, Calgary, Edmonton and Ottawa.
Source: Reuters
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