If approved by shareholders and regulators, two of Canada’s biggest media companies are about to become one!
Corus Entertainment has announced it is buying Shaw Media, for $2.65-billion in cash and stock.
According to Global News, who is owned by Shaw Media, says the deal will vault Toronto-based Corus into a leading market position, with the scale it says to compete both domestically and against foreign players like Netflix.The combined company would oversee 45 specialty television channels, including such brands as Food, History, Showcase, W Network and YTV, along with 15 local television stations, 39 radio stations and a host of digital properties.
“This is a transformational acquisition that redefines Corus Entertainment and Canada’s media landscape,” said CEO Doug Murphy, adding it would “solidify Corus’ position as the market leader” in the women, kids and family entertainment segments coveted by advertisers.
The company would also be a major force in local, with TV-radio combinations in most of Canada’s largest media markets.
It comes on the eve of a sea change for Canadian television, due to new CRTC rules that will mandate cable companies to offer so-called “skinny basic” cable packages as of March 1. They will be followed by “pick-and-pay” plans that will give consumers much more choice in what channels they want to pay for.