Bell Canada to be bought by pension fund

0 Comments | AFP, June, 2007

MONTREAL (AFP) — Canadian telecoms giant BCE (Bell Canada) announced Saturday it was being purchased by an investor group led by Teachers Private Capital for 51.7 billion Canadian dollars (48.5 billion US).

The all-cash transaction, which includes 16.9 billion Canadian dollars of debt, preferred equity and minority interests, was unanimously accepted by BCE's board of directors, which urged shareholders accept the deal, BCE said in its announcement of the deal.

The proposed transaction "will deliver substantial value creation for our shareholders. In addition, a majority of the equity will be owned by Canadians," said BCE chairman Richard Currie in the statement.

"The transaction delivers to our shareholders the economic benefit of the work done to focus on...