VICTORIA – Vecima Networks subsidiary YourLink Inc. has sold its Saskatchewan 2.5-2.6 GHz spectrum to Inukshuk Wireless Partnership for $14 million.
YourLink currently provides video and broadband Internet access to approximately 19,000 customers through digital wireless services in Saskatchewan and several small cable TV systems in rural British Columbia. Following the sale, YourLink said that it will transition its wireless video customers in Saskatchewan to alternate service providers.
"As we have said in multiple quarterly calls, Vecima believes that the market value of YourLink’s total spectrum holdings before this sale is in the $35 to $50 million range”, said Vecima president and CEO, Dr. Surinder Kumar, in a statement. “Further, the transition to other spectrum will allow us not only to introduce a new generation of our own advanced Internet radios, but also to expand service speed and bandwidth to our growing customer base."
The transaction is subject to customary conditions including the receipt of all requisite regulatory approvals, and is expected to close in several phases as those approvals are received. The licenses to be sold represent approximately 7.5% of the Canadian spectrum owned by YourLink.
