Competition watchdog doubles down on blocking Rogers-Shaw deal ahead of hearings

OTTAWA — The regulatory fight over the $26-billion proposed merger between Rogers Communications Inc. and Shaw Communications Inc. is headed to public hearings after the Competition Bureau doubled down on its intention to block the deal during a case management conference today.

The regulator says it still seeks to prevent the deal and that the planned sale of Shaw-owned wireless carrier Freedom Mobile to Quebecor Inc.’s Videotron Ltd. is not enough to eliminate its concerns that the merger would lead to worse services and higher prices for consumers.

Freedom competes with Rogers in large parts of Ontario and Western Canada.

Rogers and Shaw say the Competition Bureau is “attacking a non-existent transaction,” noting that Freedom would be sold to Videotron before the acquisition of Shaw occurs and the original proposal is no longer relevant.

Chief Justice Paul Crampton, head of the Competition Tribunal panel for the upcoming hearings, wants to narrow the parameters to focus on the proposed acquisition of Freedom by Videotron and on Rogers’ acquisition of the rest of the Shaw business.

Quebecor agreed to buy Freedom in a $2.85 billion deal earlier this year.

This report by The Canadian Press was first published Nov. 1, 2022.

Companies in this story: (TSX:RCI.B, TSX:SJR.B, TSX:QBR.B)

The Canadian Press