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BRIEF-Rogers And Shaw To Come Together In $26 Billion Transaction, Creating New Jobs And Investment In Western Canada And Accelerating Canada’S 5G Rollout

Published 2021-03-15, 07:14 a/m
© Reuters.
RCIb
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March 15 (Reuters) - Rogers Communications Inc RCIb.TO :

* ROGERS AND SHAW TO COME TOGETHER IN $26 BILLION TRANSACTION, CREATING NEW JOBS AND INVESTMENT IN WESTERN CANADA AND ACCELERATING CANADA'S 5G ROLLOUT

* ROGERS COMMUNICATIONS INC - ROGERS TO PURCHASE ALL OUTSTANDING CLASS A SHARES AND CLASS B SHARES OF SHAW FOR $40.50 PER SHARE IN CASH

* ROGERS COMMUNICATIONS INC - SHAW FAMILY TRUST IRREVOCABLY AGREES TO VOTE IN FAVOUR OF TRANSACTION

* ROGERS COMMUNICATIONS INC - TRANSACTION TO BE FUNDED BY CASH CONSIDERATION OF $40.50 TO ALL SHAREHOLDERS

* ROGERS COMMUNICATIONS - DEAL CONSIDERATION EXCLUDES ABOUT 60% OF SHAW FAMILY SHARES WHICH WILL BE EXCHANGED FOR 23.6 MILLION CLASS B SHARES OF CO AT EXCHANGE RATIO OF 0.70

* ROGERS COMMUNICATIONS - TRANSACTION IS NOT CONDITIONAL UPON FINANCING, AS ROGERS HAS SECURED COMMITTED FINANCING TO COVER CASH CONSIDERATION

* ROGERS COMMUNICATIONS INC - SYNERGIES FROM DEAL ARE EXPECTED TO EXCEED $1 BILLION ANNUALLY WITHIN TWO YEARS OF CLOSING

* ROGERS COMMUNICATIONS INC - DEAL WILL BE SIGNIFICANTLY ACCRETIVE TO EARNINGS AND CASH FLOW PER SHARE AS OF FIRST YEAR AFTER CLOSING

* ROGERS COMMUNICATIONS INC - ROGERS PRO FORMA DIVIDEND PAYOUT RATIO DECLINES TO BELOW 30% WITHIN 24 MONTHS OF DEAL CLOSE

* ROGERS COMMUNICATIONS - SHAW FAMILY WILL BECOME ONE OF LARGEST SHAREHOLDERS IN ROGERS

* ROGERS COMMUNICATIONS INC - BRAD SHAW, & ANOTHER DIRECTOR TO BE NOMINATED BY SHAW FAMILY, WILL JOIN ROGERS BOARD OF DIRECTORS WHEN TRANSACTION CLOSES

* ROGERS COMMUNICATIONS - DEAL UNANIMOUSLY APPROVED BY ROGERS BOARD OF DIRECTORS AND UNANIMOUSLY RECOMMENDED BY SHAW BOARD OF DIRECTORS

* ROGERS COMMUNICATIONS - SHAW WILL CONTINUE TO PAY ITS REGULAR MONTHLY DIVIDENDS OF $0.098542 PER CLASS A SHARE AND $0.09875 PER CLASS B SHARE

* ROGERS COMMUNICATIONS INC - ROGERS TO INVEST $2.5 BILLION TO BUILD 5G NETWORK IN WESTERN CANADA

* ROGERS COMMUNICATIONS - WESTERN HEAD OFFICE OF COMBINED CO TO REMAIN AT SHAW COURT IN CALGARY; PRESIDENT OF WESTERN OPERATIONS, OTHER SENIOR ROLES TO BE BASED IN CALGARY

* ROGERS COMMUNICATIONS INC - SHAW'S DIRECTORS AND SENIOR MANAGEMENT HAVE AGREED TO VOTE ALL OF THEIR SHARES IN FAVOUR OF TRANSACTION

* ROGERS COMMUNICATIONS - WILL NOT INCREASE WIRELESS PRICES FOR FREEDOM MOBILE CUSTOMERS FOR AT LEAST THREE YEARS FOLLOWING CLOSE OF TRANSACTION

* ROGERS COMMUNICATIONS INC - TRANSACTION VALUED AT APPROXIMATELY $26 BILLION INCLUSIVE OF APPROXIMATELY $6 BILLION OF SHAW DEBT

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