Cable & Telecom

Rogers swaps debt for shares with Microsoft

TORONTO – A transaction begun yesterday will see Microsoft Corp. take ownership of 6% of Rogers Communications shares. Officially, RCI “announced that it has given a notice of redemption to Microsoft R-Holdings, Inc., a subsidiary of Microsoft Corporation, stating its intention to redeem its C$600 million 5 1/2% Convertible Preferred Securities due August 2009… in accordance with the terms of such securities,” said the press release. Basically, there were provisions built into Microsoft’s $600 million investment made in Rogers a couple of years ago where if RCI’s share price rose above $45 a share, RCI had the right to convert...