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- Iain Grant
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Shaw trying to sell its stake in Corus
[Via Globe)
Shaw Communications Inc. is attempting to sell its stake in broadcaster Corus Entertainment Inc. as part of a strategy to build a war chest for expansion of its Freedom Mobile wireless network.
Shaw recently hired investment bank TD Securities Inc. to find a buyer for its 38-per-cent stake in television and radio station owner Corus, according to sources familiar with the Shaw’s plans. These sources say Shaw is shopping its Corus stake, currently worth approximately $540-million, to a list of dozens of potential buyers, with a focus on private equity funds and other deep-pocketed investors that don’t currently own a national media business in Canada.
Toronto-based Corus owns a stable of 44 specialty television channels, including the Food Network and HGTV, and 15 conventional TV stations, including the national Global TV network, along with 39 radio stations. Sources say Shaw and Corus would listen to offers for individual business lines and that Shaw would also be content to continue as a major shareholder in Corus if no buyers emerge.
Spokespeople for Shaw, Corus and TD declined to comment.
Shaw is attempting to sell Corus at a time when the broadcaster’s revenue is falling, partly because of shrinking audiences and advertising for conventional TV. Corus is expected to cut its $1.14 annual common share dividend when the company reports financial results later this month. The dividend currently sends $90-million annually to Shaw Communications.
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Madness takes its toll. Please have exact change.
- ig
- Iain Grant
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Re: Shaw trying to sell its stake in Corus
Nothing to do with anything but you may consider picking up some Telus stock.
Madness takes its toll. Please have exact change.
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Thread Starter- betaylored
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Re: Shaw trying to sell its stake in Corus
There's a substantial number of consumers who would drop their Bell and Rogers contracts, if there was a half decent alternative. With the cost of living, and Netflix etc. the temptation for people to cut the cable cord, and make other arrangements for cellphone and data service is only going to get stronger.
Shaw building up Freedom Mobile could be a game changer for the industry.
Rogers-owned chatr has started to raise their monthly service fees gradually, and I have a feeling this is their "boiling frog" version of making money and/or encouraging a switch to the parent company. Right now chatr is the best option for a lot of lower income people, and those who don't have either a credit card, or a driver's license which is a non negotiable requirement for Bell and Rogers.
TD Securities must think they can find a buyer for Corus.
I wish Shaw great success with Freedom Mobile. The customer base could just be theirs for the taking.
Last edited by betaylored (June 15, 2018 5:51 pm)
- cGrant
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Re: Shaw trying to sell its stake in Corus
As much as people b***h and whine about Bell, and to a lesser extent Rogers, the majority sticks with the majors. And those companies know this. They WILL continue "same old same old" because... because they can... and will.
- betaylored
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Re: Shaw trying to sell its stake in Corus
cGrant wrote:
As much as people b***h and whine about Bell, and to a lesser extent Rogers, the majority sticks with the majors. And those companies know this. They WILL continue "same old same old" because... because they can... and will.
For now, but the same old ways eventually evolve, or dissolve, for example, consider industries that are about to be impacted by the autonomous car.
Newspapers, taxi services, land lines, watches. Their place in our daily life is different now than only a decade ago.
Retail couldn't believe Walmart could survive. Brokerage firms took forever to offer on-line discount services.
It may take another ten to twelve years, but Shaw's Freedom Mobile or someone else will be the successful disruptor that the consumer needs.
- Kilgore
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Re: Shaw trying to sell its stake in Corus
Immediately after word leaked on the pending sale announcement, Corus Entertainment traded up a bit to $6.84 but closed Friday @ $6.44. Who (if anyone) would be a potential buyer? What if no one steps up? Maybe we will then see profitable divisions such as kids programs including Treehouse pieced off ( ? )
- RadioActive
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Re: Shaw trying to sell its stake in Corus
And the hits just keep on coming.
Corus Entertainment slashes dividend, reports third-quarter loss; shares drop
Reports say it's the lowest share price ever for the company. You have to wonder how long they can let this go on and whether more cuts are in the offing.
- cGrant
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Re: Shaw trying to sell its stake in Corus
You have to wonder how long they can let this go on and whether more cuts are in the offing.
And, yet, Corus has a very expensive labour force operating their talk stations/network. There's no way they can keep it on life support for much longer. How much time will pass before they actually believe GNR640 can truly compete with RB?
- geo
- Unregistered
Re: Shaw trying to sell its stake in Corus
you may consider picking up some Telus stock.
Report on Business magazine with today's Globe 'n Mail has a Darren Entwistle cover article (admittedly, not exactly the cover of the Rolling Stone)
G.