Thursday, June 19, 2008

Supreme Court of Canada Approves BCE Privatization Plan

The Supreme Court of Canada reinstated a lower court order approving BCE's plan of arrangement. This opens the path to complete the previously announced sale of the company to an investor group led by Teachers' Private Capital, the private investment arm of the Ontario Teachers' Pension Plan, Providence Equity Partners Inc., Madison Dearborn Partners, LLC, and Merrill Lynch Global Private Equity.

"Today's unanimous decision by the Supreme Court affirms BCE's long standing position that the plan of arrangement complies with the rights and reasonable expectations of Bell Canada debenture holders," said Richard J. Currie, Chair of the Board of BCE Inc. and Bell Canada.

BCE also gained final approval from CRTC. Further, Industry Canada is expected to confirm its approval of the privitization deal.

BCE said it now believes that it can close the transaction in the third quarter of 2008.