Rogers Secures CDN$7 Billion Investment to Strengthen Network
Rogers Secures CDN$7 Billion Investment
Rogers Communications Inc. has successfully closed a significant equity investment transaction, acquiring CDN$7 billion from reputable funds managed by Blackstone, alongside a consortium of prominent Canadian institutional investors.
Investment Details and Impact
This notable investment is poised to have a transformative impact on Rogers' operations. Blackstone has obtained a non-controlling interest in a newly established Canadian subsidiary of Rogers, which encompasses a section of the company's wireless backhaul transport infrastructure. Rogers continues to maintain full operational control over its network, thus allowing it to integrate the financial outcomes of this subsidiary into its consolidated financial results.
CEO's Insights on the Transaction
“This transaction illustrates the robust confidence that investors have in Rogers and the quality of our vast assets,” proclaimed Tony Staffieri, President and CEO of Rogers. He emphasized that this important investment will not only enhance the company's operational capability but also assist in unlocking previously unrecognized value within critical assets. This strategic move aligns with Rogers' ongoing commitment to reducing its overall debt and strengthening its financial standing.
Investor Group and Strategic Partnerships
The investment consortium led by Blackstone is notable. It includes prestigious entities such as the Canada Pension Plan Investment Board (CPP Investments), Caisse de dépôt et placement du Québec (La Caisse), Public Sector Pension Investment Board (PSP Investments), British Columbia Investment Management Corporation (BCI), and the Investment Management Corporation of Ontario (IMCO). This diverse group reflects a broad-based confidence in Rogers’ strategic direction and asset value.
Future Growth Opportunities
The infusion of capital from this equity investment stands to empower Rogers to explore further growth opportunities. By focusing on its wireless infrastructure, Rogers will not only enhance existing services but may also pave the way for innovative solutions that align with consumer demands and market trends. The collaboration with leading investment bodies also sets a positive precedent for future investments, potentially attracting more stakeholders to Rogers.
About Rogers Communications Inc.
Rogers is recognized as Canada’s preeminent communications and entertainment provider, actively trading on the Toronto Stock Exchange under the tickers TSX: RCI.A and RCI.B, as well as on the New York Stock Exchange as NASDAQ: RCI. To learn more about Rogers and its services, interested parties are encouraged to visit the company's official websites.
Contact Information
For media inquiries:
Contact: media@rci.rogers.com
Phone: 1-844-226-1338
Investor Relations:
Contact: investor.relations@rci.rogers.com
Phone: 1-844-801-4792
Frequently Asked Questions
What is the amount of the equity investment by Blackstone?
The equity investment amounts to CDN$7 billion and is part of a strategic partnership that involves top Canadian institutional investors.
What will be the use of the proceeds from this investment?
The funds will primarily be used to repay debt while also enhancing Rogers' wireless infrastructure.
Who maintains control of the wireless network after the investment?
Rogers Communications Inc. retains full operational control of its wireless network, ensuring seamless service provision.
Which prominent investors are involved in this deal?
The investor group includes well-known entities like CPP Investments, La Caisse, PSP Investments, BCI, and IMCO.
Where can I find more information about Rogers Communications?
More information is available on their official websites, including details on their services and investor relations.
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