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Thursday, May 16, 2013

Telus tests Canada's spectrum resolve with Mobilicity bid, (NYSE: BCE), (TSE: BCE.TO), (NYSE: RCI)

Telus Corp, one of Canada's biggest wireless phone companies, said on Thursday it will pay C$380 million ($370 million) for debt-laden Mobilicity, testing the resolve of a government committed to opening the market to smaller players.The deal, already backed by some Mobilicity debt holders, must now wind its way though a regulatory obstacle course involving several agencies and approval is far from certain. But the two companies suggested the alternative was death for the loss-making upstart."We believe this deal is significantly better than the alternative, which is highly likely to be bankruptcy," Telus marketing chief Dave Fuller said by phone. Proceeds from the sale will be used to pay down the startup's debt.Privately held Mobilicity, whose formal name is Data & Audio-Visual Enterprises Holdings Inc, was one of three aggressive startups that entered the Canadian market after a spectrum auction which partially excluded the Big Three of Telus, BCE Inc and Rogers Communications.

BCE Inc. is a communications company, providing residential, business and wholesale customers with a range of solutions to all their communications needs. Shares of BCE traded higher by 0.09% or $0.0401/share to $47.11. In the past year, the shares have traded as low as $39.12 and as high as $48.06. On average, 730988 shares of BCE exchange hands on a given day and today's volume is recorded at 192757.

BCE Inc. is a communications company, providing residential, business and wholesale customers with a range of solutions to all their communications needs. Shares of BCE traded higher by 0.1% or $0.05/share to $47.91. In the past year, the shares have traded as low as $40.16 and as high as $48.23. On average, 1350020 shares of BCE.TO exchange hands on a given day and today's volume is recorded at 371770.

Rogers Communications Inc. (RCI) is a diversified public communications and media company. Shares of RCI fell by 0.72% or $-0.34/share to $47.04. In the past year, the shares have traded as low as $33.58 and as high as $51.98. On average, 354208 shares of RCI exchange hands on a given day and today's volume is recorded at 150811.



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