Transaction will accelerate broadband network investment and
increase communications choice for Manitobans
MONTRÉAL, June 23, 2016 /CNW
Telbec/ - BCE Inc. (Bell) (TSX, NYSE: BCE) welcomes today's
decision by shareholders of Manitoba Telecom Service Inc. (MTS)
(TSX: MBT) to approve Bell's acquisition of MTS at a special
shareholders meeting in Winnipeg
this morning.
"We are happy that MTS shareholders so clearly support the
creation of Bell MTS and our plan to deliver the world's best fibre
and mobile broadband services to Manitobans," said George Cope, President and CEO of BCE and
Bell Canada. "We look forward to
working with the MTS team to complete the transaction, and to
investing in the network and service innovations that will put
Manitoba at the forefront of
Canadian communications."
The special resolution to approve the statutory plan of
arrangement, which will see Bell acquire all issued and outstanding
common shares of MTS, was supported by 99.66% of
the 43,098,172 votes cast by MTS shareholders. Announced on
May 2, the transaction is valued at
approximately $3.9 billion and is
expected to close in late 2016 or early 2017, subject to customary
closing conditions including court and regulatory approvals.
Recognizing the powerful brand and community presence MTS has
built, the companies' combined operations in Manitoba will be known as Bell MTS, and
Winnipeg will become Bell's
Western Canada headquarters. With
the addition of MTS's 2,700 employees, Bell's Western Canada team grows to 6,900 people in
Manitoba, Saskatchewan, Alberta and British
Columbia.
$1 billion Manitoba investment commitment
Bell has announced a 5-year, $1
billion commitment to expand broadband wireless and fibre
communications services in Manitoba after the transaction closes, greatly
enhancing consumer choice and competition in the province.
As a first step, Bell and MTS on May
20 announced plans to complete wireless coverage along
Highway 75, the vital transportation corridor linking Winnipeg and other Manitoba communities with the U.S. border.
Bell's broadband investment will include the introduction of the
groundbreaking Gigabit Fibe Internet service, which delivers
Internet speeds on average up to 20 times faster than those
currently offered to MTS customers; Fibe TV, the fast-growing
broadband television service that has propelled Bell into the #1
spot in Canadian TV; expansion of Bell's award-winning LTE wireless
network, with average data speeds twice as fast as those currently
available to MTS customers; and the integration of the MTS Winnipeg
data centre operations into Bell's leading national network of 27
data hosting and cloud computing centres across Canada.
Caution concerning forward-looking statements
Certain statements made in this news release are forward-looking
statements, including, but not limited to, statements relating to
the proposed acquisition by BCE Inc. ("BCE") of all of the issued
and outstanding common shares of Manitoba Telecom Services Inc.
("MTS"), the expected timing and benefits of the proposed
transaction, our network deployment and capital investment plans in
Manitoba, our business outlook,
objectives, plans and strategic priorities, and other statements
that are not historical facts. Forward-looking statements are
typically identified by the words assumption, goal, guidance,
objective, outlook, project, strategy, target and other similar
expressions or future or conditional verbs such as aim,
anticipate, believe, could, expect, intend, may, plan, seek,
should, strive and will. All such forward-looking statements
are made pursuant to the "safe harbour" provisions of applicable
Canadian securities laws and of the
United States Private Securities Litigation Reform Act of
1995.
Forward-looking statements, by their very nature, are subject to
inherent risks and uncertainties and are based on several
assumptions, both general and specific, which give rise to the
possibility that actual results or events could differ materially
from our expectations expressed in or implied by such
forward-looking statements. As a result, we cannot guarantee that
any forward-looking statement will materialize and we caution you
against relying on any of these forward-looking statements. The
forward-looking statements contained in this news release describe
our expectations at the date of this news release and, accordingly,
are subject to change after such date. Except as may be required by
Canadian securities laws, we do not undertake any obligation to
update or revise any forward-looking statements contained in this
news release, whether as a result of new information, future events
or otherwise. Forward-looking statements are provided herein for
the purpose of giving information about the proposed transaction
referred to above and its expected impact. Readers are cautioned
that such information may not be appropriate for other
purposes.
The completion and timing of the proposed transaction are
subject to customary closing conditions, termination rights and
other risks and uncertainties including, without limitation, court
and regulatory approvals, including approval by the Competition
Bureau, the CRTC, Innovation, Science and Economic Development
Canada, as well as the TSX and NYSE. Accordingly, there can be no
assurance that the proposed transaction will occur, or that it will
occur on the terms and conditions, or at the time, contemplated in
this news release. The proposed transaction could be modified,
restructured or terminated. There can also be no assurance that the
benefits expected to result from the proposed transaction will be
realized.
For additional information on assumptions and risks underlying
certain forward-looking statements made in this news release
relating, in particular, to our network deployment and investment
plans, please consult BCE's 2015 Annual MD&A dated March 3, 2016 (included in the BCE 2015 Annual
Report) and BCE's 2016 First Quarter MD&A dated April 27, 2016, filed by BCE with the Canadian
provincial securities regulatory authorities (available at
Sedar.com) and with the U.S. Securities and Exchange Commission
(available at SEC.gov). These documents are also available at
BCE.ca.
About BCE
Canada's largest communications company, BCE provides broadband
wireless, TV, Internet and business communication services from
Bell Canada and Bell Aliant. Bell
Media is Canada's premier multimedia company with leading assets in
television, radio, out of home and digital media. To learn more,
please visit BCE.ca.
The Bell Let's Talk initiative promotes Canadian mental health
with national awareness and anti-stigma campaigns like Bell Let's
Talk Day and significant Bell funding of community care and access,
research, and workplace initiatives. To learn more, please visit
Bell.ca/LetsTalk.
Media inquiries:
Michelle Michalak
(416) 215-3021
michelle.michalak@bell.ca
Investor inquiries:
Thane Fotopoulos
(514) 870-4619
thane.fotopoulos@bell.ca
SOURCE Bell Canada