The BCE Fact Box
THE PROPOSED BUYOUT
- Ontario Teachers' Pension Plan, with U.S.-based private equity firms Providence Equity Partners, Madison Dearborn Partners and Merrill Lynch Global Private Equity, are offering C$42.75 a share in cash to take BCE private.
- Under terms of the deal announced on June 30, 2007, Teachers Private Capital will hold a 52 percent stake in BCE, Providence 32 percent, Madison Dearborn 9 percent, and other Canadian investors 7 percent.
- BCE would pay a break fee of C$800 million in certain circumstances, while the buyer would pay C$1 billion fee.
- The buyer has commitments for facilities to support ongoing liquidity needs for the company, BCE said when it announced the agreement.
- The deal has received approval from Industry Canada and the Canadian Radio-television Telecommunications Commission. It was backed by Canada's Supreme Court in June. The top court overturned a lower court decision that sided with some bondholders who claimed the deal was unfair.
