BCE Sells Stake In Phone Directory Business

Communications Today, Sept 16, 2002

BCE [BCE], Canada's largest telecom company, is selling control of its Canadian phone directory business to investment firm Kohlberg Kravis Roberts & Co and the Ontario Teacher's Pension Plan for about $2 billion in cash. The sale includes 209 print White Pages and Yellow Pages directories in Ontario and Quebec, an electronic yellow pages, toll-free services and Canadian 411 directories.

BCE will have a 10 percent stake in the new group running the business. BCE is selling some assets to help raise money to buy back SBC Communications' [SBC] 20 percent stake in its Bell Canada affiliate.