MONTREAL – BCE announced Monday it has written confirmation from the CRTC that it had met the regulator’s conditions of sale with “two minor exceptions,” just as media reports surfaced that the banks providing the financing want to renegotiate terms of the deal.
The CRTC states in the letter that its conditions set forth in its March 27 decision to approve the acquisition of BCE by an investor group led by Teachers’ Private Capital, the private investment arm of the Ontario Teachers’ Pension Plan, Providence Equity Partners Inc., Madison Dearborn Partners, LLC, and Merrill Lynch Global Private Equity, have been fulfilled, except for two amendments.
In its letter of May 16, 2008, the CRTC requested that an amended Principal Investors Agreement be filed with the Commission within 30 days to address how the appointment of an independent member of the board of directors will be made should certain circumstances arise in the future.
The CRTC’s letter also addresses an outstanding issue concerning the disposition of the balance of the tangible benefits payable by BCE that will see the company now direct 10% of those benefits to the BCE New Media Trust.
BCE stated in the media release that it expects the transaction to close before the end of the second quarter of 2008.
