Rogers Wireless has entered into an agreement to exchange assets with one of the country’s largest broadcast firms, Shaw Communications, in a deal that will give Shaw full control of cable channel TVtropolis.
Under the terms of an agreement between Shaw and Rogers, the former will transfer spectrum licenses for advanced wireless service to Rogers in five of the country’s provinces: British Columbia, Alberta, Saskatchewan, Manitoba and Northern Ontario.
Shaw will also transfer its shares in Hamilton-based MSO Mountain Cablevision to Rogers. In return it will receive Rogers’ 33.3 per cent partnership stake in the TVtropolis; the pay TV channel that Shaw Communications owns the remaining shares of. Shaw will also receive a cash consideration of $700m.
Brad Shaw, CEO at Shaw Communications added that the sale is strategic move for both parties and that the firm will be able to use the net proceeds from the transactions to accelerate various strategic investments in its core business.
TVtropolis is a general entertainment channel and its current schedule includes scripted series Friends and 3rd Rock from the Sun while its reality line-up includes Canadian Pickers and Ex Wives of Rock.