Rogers Communications has agreed to sell a minor stake in its wireless network to Blackstone in an equity deal worth $4.9 billion, giving the private equity firm a non-controlling interest in a new Rogers Communications’ subsidiary which is expected to hold some of its wireless backhaul transport infrastructure. The deal does not involve Rogers’ cell towers or spectrum holdings.
Blackstone is expected to receive what has been approximated at up to $400 million (CAD) annually in the first five years after the deal closes in the second quarter of the year if all closing conditions are met, and Rogers will secure proceeds to repay debt.
“With this significant investment, we are executing on our commitment to de-lever our balance sheet,” stated Rogers Communications president and CEO Tony Staffieri.
