Shaw Communications Inc.NYSE
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  • Fri, Apr. 1, 12:52 PM
    • Shaw Communications (SJR -0.9%) has closed on the sale of its Shaw Media broadcasting unit to Corus Entertainment (OTCPK:CJREF +3.6%).
    • The deal was for C$2.65B; Shaw has received about C$1.85B in cash and 71,364,853 Corus Class B (nonvoting) shares at $11.21/share.
    • That means Shaw -- a sister company to Corus, with the Shaw family controlling both -- owns about 37% of Corus' issued equity of A and B shares.
    • Shaw has turned and used proceeds to repay bridge financing tied to its acquisition of Wind Mobile.
    • The deal was contentious as activists at Catalyst Capital put up hurdles, saying the Shaw family benefited disproportionate vs. the rights of minority shareholders. Ultimately, those minority investors approved (not overwhelmingly) of the deal.
    • Now read Shaw Communications Picking A Challenging Time To Work To Become The Fourth Major Canadian Telecom Giant »
    | Fri, Apr. 1, 12:52 PM | 1 Comment
  • Wed, Mar. 23, 5:13 PM
    • Corus Entertainment (OTCPK:CJREF -2.3%) has gotten the OK for its C$2.65B takeover of Shaw Media (SJR -1.5%) from the Canadian Radio-television and Telecommunications Commission.
    • That clears the decks for a closing on April 1. Shareholders approved the deal on March 9 -- including minority shareholders, amid concerns that the Shaw family that controls both companies was unfairly benefiting.
    • The deal's C$2.65B price is to be paid through a combination of cash and Corus Class B shares; Corus gets a combined media portfolio that covers 45 specialty services, 15 conventional channels, 39 radio stations, and a global content business along with digital assets.
    • Previously: Corus shareholders approve C$2.65B Shaw Media purchase (Mar. 09 2016)
    • Previously: Regulator: Corus doesn't need more disclosure on C$2.65B Shaw deal (Mar. 07 2016)
    | Wed, Mar. 23, 5:13 PM
  • Wed, Mar. 9, 12:13 PM
    | Wed, Mar. 9, 12:13 PM | 2 Comments
  • Mon, Mar. 7, 4:40 PM
    | Mon, Mar. 7, 4:40 PM | 2 Comments
  • Fri, Mar. 4, 7:11 PM
    | Fri, Mar. 4, 7:11 PM
  • Tue, Mar. 1, 9:10 PM
    • Corus Entertainment (OTCPK:CJREF +1.6%) has fired back against Catalyst Capital, which has raised concerns about Corus' planned C$2.65B acquisition of Shaw Media and proposed to terminate an outstanding Corus subscription receipts offering for what Corus calls a "hypothetical" rights offering.
    • Catalyst had complained to regulators with concerns that the Shaw family -- which controls both Corus and Shaw Media parent Shaw Communications (SJR +2.7%) -- could reap C$50M just for making the deal happen. It also calculated a different fair value for Shaw Media than Corus has.
    • The hypothetical rights offering is inconsistent with Catalyst's recommendation that shareholders vote against the acquisition of Shaw Media," Corus says in a statement. "If the acquisition is not approved, Corus would have no need to raise the funds proposed under their rights offering. Holders of Corus subscription receipts would have their funds returned.
    • Subscription receipts are a common form of financing, Corus continues, while rights offerings are almost always for situations of financial hardship. The company thinks Catalyst's plan is an attempt to profit from minority shareholders, and possibly take a large stake in Corus.
    • A special meeting is set for March 9 to vote on the deal.
    • Previously: Corus running into hurdles in C$2.65B Shaw Media purchase (Feb. 23 2016)
    | Tue, Mar. 1, 9:10 PM
  • Tue, Mar. 1, 5:12 PM
    • Shaw Communications (SJR +2.6%) has closed on its C$1.6B acquisition of Mid-Bowline Group, and thus its purchase of Wind Mobile, launching its entry into the wireless business.
    • Wind -- the No. 4 provider in the market -- is Canada's biggest non-incumbent wireless firm, with about 940,000 subscribers in Ontario, British Columbia and Alberta.
    • Shaw had said earlier this month that it had fully committed financing for the deal, and it had been cleared by all major government boards. The company closed on a C$300M debt offering that could go toward helping fund the deal.
    • Elsewhere in Canadian telecom: TU +1.5%; BCE +1.2%; RCI +2.2%.
    | Tue, Mar. 1, 5:12 PM | 2 Comments
  • Tue, Feb. 23, 7:52 PM
    • Ahead of a March 9 vote, Corus Entertainment (OTCPK:CJREF +3.9%) is running into snags in its plan to pay C$2.65B for Shaw Media, the media arm of Shaw Communications (SJR -2%).
    • Corus investor Catalyst Capital has complained to two regulators about "serious concerns" regarding whether the Shaw Family, which controls both firms, could gain at least C$50M in the deal. Corus, for its part, rejects Catalyst's calculation of fair value for Shaw Media.
    • Meanwhile, influential proxy adviser Institutional Shareholder Services has expressed concerns about debt and equity Corus will need (C$1.85B in cash, C$800M in stock) for the deal, but is still urging approval as the price "appears fair."
    • Moody's has warned that Shaw could see a hit to creditworthiness if any hitch arrives in its plans to move proceeds from the Shaw Media sale into its C$1.6B purchase of Wind Mobile.
    • Because of the related-party nature of the transaction, a majority of Corus' minority shareholders must sign off.
    • Previously: Corus sets meeting to vote on $2.65B Shaw Media acquisition (Feb. 11 2016)
    • Previously: Shaw set to close on Wind Mobile acquisition March 1 (Feb. 19 2016)
    • Previously: Shaw +15% early; Corus to buy media unit for C$2.65B (Jan. 13 2016)
    | Tue, Feb. 23, 7:52 PM
  • Fri, Feb. 19, 8:24 PM
    • Shaw Communications (NYSE:SJR) says it will close on its acquisition of Wind Mobile, Canada's No. 4 wireless provider, on March 1.
    • Shaw came to a C$1.6B deal to acquire Mid-Bowline Group, the parent of Wind Mobile, in mid-December. Since then, the transaction has been cleared by the Competition Bureau, the Ministry of Innovation, Science & Economic Development, and the Ontario Superior Court of Justice and Shaw has fully committed financing.
    • The company said today it closed on a C$300M offering of 3.15% senior notes due 2021, the proceeds of which might go toward the Wind purchase.
    | Fri, Feb. 19, 8:24 PM
  • Thu, Feb. 11, 7:12 PM
    • Corus Entertainment (OTCPK:CJREF -3.5%) is planning a special meeting to consider its proposed $2.65B acquisition of Shaw Media, a unit of Shaw Communications (SJR -2.2%).
    • It's set a meeting for March 9 and issued an information circular. The deal was to be financed wth cash and issuing Class B non-voting stock; Corus expecs it can maintain its current dividend of $1.14/B share and pursue $40M-$50M in annual cost savings within 24 months.
    • Holders of Corus' Class A and Class B shares are entitled to vote on the deal, including issuing 71.36M class B shares that would go to Shaw in the deal.
    • If approved, the deal's still conditioned on approval by regulators at the Canadian Radio-television and Telecommunications Commission.
    • Previously: Shaw +15% early; Corus to buy media unit for C$2.65B (Jan. 13 2016)
    | Thu, Feb. 11, 7:12 PM
  • Thu, Feb. 4, 5:36 PM
    | Thu, Feb. 4, 5:36 PM
  • Wed, Jan. 13, 9:09 AM
    • Shaw Communications (NYSE:SJR) is up 15% premarket on news that Corus Entertainment (OTCPK:CJREF) has a deal to buy Shaw Media for C$2.65B (about $1.86B).
    • Corus was originally formed from a split of media assets from Shaw in 1999. It will pay some C$1.85B in cash and the rest in class B shares.
    • Shaw Media's channels, including Food Network Canada, History Television, National Geographic Canada, Nat Geo Wild Canada and DIY Network Canada, will boost Corus in segments tied to women, children and family. The result will be a "combined portfolio with significant scale, including 45 specialty television channels, 39 radio stations, digital assets, the content studio, Nelvana, and 15 conventional television stations."
    • It's expected to close in Q3 and be immediately accretive to EPS and free cash flow per share.
    | Wed, Jan. 13, 9:09 AM
  • Dec. 17, 2015, 10:35 AM
    • Shaw Communications (NYSE:SJR) is being hit hard, -9.2%, after last night's announcement that it's finally buying into wireless in a big way with a C$1.6B acquisition of WIND Mobile.
    • Howard Weil has downgraded the shares, to Sector Perform from Outperform. RBC Capital has cut its price target to C$25, from C$27; shares were down 8.8% in Toronto to C$24.60.
    • Shaw had planned to enter the wireless market as long ago as 2011, but as of last year had sold spectrum it amassed for that move (to rival Rogers, for $100M) and appeared to have abandoned those ambitions.
    • Shaw says the deal is 100% financed with its fully committed bridge facility, and says it's committed to maintaining an investment grade rating in any case. It's keeping the dividend steady.
    • Presentation on WIND acquisition
    • Previously: Shaw Communications buys into wireless with C$1.6B WIND acquisition (Dec. 16 2015)
    | Dec. 17, 2015, 10:35 AM
  • Dec. 16, 2015, 6:19 PM
    • Canadian telecom Shaw Communications (NYSE:SJR) is acquiring Mid-Bowline Group and its WIND Mobile unit -- the country's largest non-incumbent wireless provider -- for an enterprise value of about C$1.6B.
    • The deal will need government and court approvals; Mid-Bowline shareholders have signed off already.
    • Shaw will use the move to offer a converged network solution -- "fibre, cable, WiFi, and now wireless" -- to its customers in Ontario, British Columbia and Alberta.
    • WIND serves about 940,000 subscribers and for 2015 expects $485M in revenue and $65M in EBITDA. WIND CEO Alek Krstajic is staying with the company under Shaw's leadership.
    • Shaw has executed a bridge financing facility with TD Bank and Canadian Imperial Bank of Commerce. It expects the transaction to close during fiscal Q3 of 2016.
    • A conference call on the transaction is coming tomorrow morning at 8 a.m. ET, along with a presentation on the deal.
    | Dec. 16, 2015, 6:19 PM | 3 Comments
  • Nov. 16, 2015, 3:16 PM
    • Data-center operator ViaWest is acquiring INetU, a cloud solutions provider, for $162.5M in another deal it's pursued since its own purchase by Shaw Communications (SJR +1.3%).
    • In June, ViaWest reached a deal to acquire AppliedTrust Engineering to shore up developer operations.
    • INetU is being sold by BV Investment Partners and its other shareholders.
    • ViaWest was acquired by Shaw and made into its Business Infrastructure Services business last year. In Shaw's Q4 earnings, Business Infrastructure Services contributed about C$68M to its revenues of C$1.37B.
    | Nov. 16, 2015, 3:16 PM
  • Jul. 2, 2015, 5:35 PM
    • Rogers Communications (RCI +0.2%) has wrapped up its acquisition of Mobilicity, as well as its deal to buy AWS wireless spectrum from Shaw Communications (NYSE:SJR).
    • The company had agreed to pay C$440M (about $350.8M today) for the mobile provider, and C$100M additional (about $79.7M) to close on Shaw's airwaves. Rogers had previously paid $250M for a purchase option on the spectrum.
    • With the deal complete, Rogers will gain access to new capacity in key markets in British Columbia, Alberta and Ontario.
    • Previously: Rogers-Mobilicity deal: Getting airwaves from Shaw, selling to Wind (Jun. 24 2015)
    • Previously: Rogers to buy bankrupt Mobilicity for $378M (Jun. 24 2015)
    | Jul. 2, 2015, 5:35 PM