Shaw stands by Rogers acquisition in Q4 fiscal report

Despite the pending merger, Shaw added 295,000 new wireless customers in 2021

Shaw Communications used its latest quarterly fiscal report to reaffirm its support for the company’s pending merger with Rogers.

The statement of faith from the Calgary-based telecom comes at a precarious moment, as Rogers is currently in the middle of a messy and highly publicized leadership struggle.

Meanwhile, the Rogers/Shaw merger — valued at $26 billion — continues to face intense scrutiny from government, competitors, and consumer advocates, many of whom argue that the merger will drastically narrow Canada’s telecom market and reduce competition.

In the company’s Q4 fiscal report, CEO Brad Shaw stated that management at Shaw “reiterate our continued commitment to work with Rogers to close the transaction.”

He also went on to say that “it is not appropriate for Shaw to comment on recent events at Rogers.”

In the fourth fiscal quarter of 2021, Shaw reported a net income increase of 44 percent to $252 million.

The report also noted that around 60,500 new wireless customers joined Shaw in Q4, with the company adding roughly 295,000 new wireless customers in the 2021 fiscal year.

This brings Shaw’s total customer base to more than 2.1 million.

For comparison, in fiscal year 2020, Shaw added somewhere over 160,000 new wireless subscribers for a total customer base of just over 1.8 million.

Shaw’s support aside, the acquisition still needs to be approved by three different government regulators: the Canadian Radio-television and Telecommunications Commission (CRTC), the Competition Bureau, and the Department of Innovation, Science and Economic Development.

The CRTC’s public hearing on the Rogers/Shaw deal is scheduled for November 22nd.

Source: Shaw