BCE said the share offer (for a total of 127.5 million Bell Aliant common shares) will commence in mid-August and expire in the second half of September, while it expects the privatisation transaction to be completed by 30 November 2014, subject to more than 50% of Bell Aliant common shares held by public minority shareholders being tendered to the offer, as well as receipt of notification under the Competition Act. Telecoms regulatory and ministry approvals are not required because there is no change in control of Bell Aliant, and no transfers of wireless spectrum licences.
BCE will fund the cash component of the transaction from available sources of liquidity and will issue approximately 61 million common shares for the equity portion of the transaction. When the transaction is completed, Bell Aliant public minority shareholders will own approximately 7% of pro forma BCE common equity.
BCE added that it is continuing with significant investments in broadband wireline and wireless networks, services and employment across Atlantic Canada, with CAD2.1 billion in capital investment in the region planned over the next five years. BCE also announced that the next phase of its national build-out of mobile 4G LTE services will be in Atlantic Canada, with more than 100 additional small towns and rural locations across the region to receive enhanced mobile services by the end of 2015.