Rogers, Bell, close MLSE deal
CBC News
Posted: Aug 22, 2012 4:49 PM ET
Last Updated: Aug 22, 2012 4:44 PM ET
Rogers Communications and Bell Canada said Wednesday they have completed their acquisition of Maple Leaf Sports and Entertainment, jointly owning a 75 per cent stake. (Chris Young/Canadian Press)
Rogers Communications and Bell Canada said Wednesday they have completed their acquisition of Maple Leaf Sports and Entertainment and its sports television channels.
Both announced that they had jointly acquired a 75 per cent stake.
The CRTC gave its approval to the deal last week, on the condition that the two spend $7.5 million over the next seven years on new sports-themed programming by Canadian independent producers.
The federal broadcast regulator also repeated its assertion that companies are prohibited from offering television programs on an exclusive basis to their mobile or internet subscribers.
MLSE owns the Toronto Maple Leafs hockey team as well as the Toronto Raptors basketball team and Toronto FC soccer team.
It also owns Leafs TV, Golf TV and NBA TV Canada, as well as two services that have not yet launched.
Critics oppose concentration of content ownership
Critics of the deal have raised questions about the effect of putting so much content in the hands of some of Canada's largest companies, fearing consumers will ultimately pay more.
BCE already owns CTV Inc. and the TSN specialty sports channels and Rogers owns the Sportsnet TV channels.
Both have extensive telecom networks and other media holdings that could benefit from tie-ins to the MLSE teams.
Rogers and BCE's Bell Canada signed a deal late last year to buy a controlling stake in MLSE, the country's biggest sports franchise company, from the Ontario Teachers' Pension Plan for $1.07 billion.
Rogers already owns the Toronto Blue Jays baseball team and their stadium, the Rogers Centre, as well as Sportsnet.
Bell owns the CTV television network and specialty cable channels such as TSN sports channel and French-language cable channel RDS.
Bell also has a minority ownership stake in the NHL's Montreal Canadiens, who compete against the Leafs.
The deal also provides that minority owner Larry Tannenbaum, through his company Kilmer Sports, will boost his current stake in MLSE from 20.5 per cent to 25 per cent.
Tanenbaum is chair of MLSE and a governor of the National Hockey League, the National Basketball Association and Major League Soccer.
With files from The Canadian PressShare Tools
Top News Headlines
- Royal Bank pledges not to outsource jobs for cash savings
- Royal Bank has promised it will never outsource a Canadian job to a foreign worker solely to save money. more »
- Washington police blame bridge collapse on Alberta trucker
- Washington State police say an Alberta trucker was responsible for hitting a steel beam precipitating a bridge collapse on one of the busiest routes in the American northwest. more »
- Man accused of killing child in patio crash granted bail
- Emotions ran high in a packed Edmonton courthouse Friday as Richard Suter, accused of causing a crash into a restaurant patio that killed a young boy, was granted bail. more »
- Senators' unlikely playoff run ends in Game 5 disappointment
- The Ottawa Senators can't hang their heads after a 6-2 loss in Game 5 ended their improbable run to the second round of the NHL playoffs, but questions abound whether their 40-year-old captain will hang up his skates. more »
Must Watch
Latest Business Headlines
- Canada threatens retaliation over U.S. meat-labelling rules
- The federal government is threatening "retaliatory measures" against the United States in a dispute over meat-labelling rules that Ottawa and the World Trade Organization consider discriminatory. more »
- Canada ranks 3rd last in paid vacations
- Canada ranks third last among economically advanced countries in the amount of paid vacation time it guarantees its workers, a new U.S. study indicates. more »
- MTS to sell Allstream, put $200M to pension and debt
- Manitoba Telecom Services Inc. has agreed to sell its Allstream business telecommunications arm to an Egyptian investment group and use about half of the $405 million in proceeds to reduce its pension obligations and debt. more »
- Railway conduit planned to ship oilsands bitumen
- With massive pipeline projects mired in controversy, the need to move crude oil to market could mean a big new boost to Canada's rail sector. more »
Lang & O'Leary Exchange
Markets
| Index | Last Trade | Change |
|---|---|---|
| TSX COMPOSITE | 12667.22 | 9.13 |
| DOW | 15303.10 | 8.60 |
| NASDAQ | 3459.14 | -0.28 |
| SP 500 | 1649.60 | -0.91 |
| TSX-VENTURE | 948.32 | 6.27 |
The data on this site is informational only and may be delayed; it is not intended as trading or investment advice and you should not rely on it as such.
- Toronto Mayor Rob Ford denies using crack cocaine
- Washington police blame bridge collapse on Alberta trucker
- Man accused of killing child in patio crash granted bail
- Canada ranks 3rd last in paid vacations
- Dog snared on baited hooks near Grouse Grind trail
- Amanda Bynes charged for allegedly tossing bong out window
- UBC student took 'nose dive into water' after bridge collapse
- Motorists warned to avoid Washington bridge collapse area
- London attack victim's widow speaks of 'our future together'
