Canada’s Quebecor, Rogers May Cut Rates Amid Shaw Merger Problems

Quebecor is in talks with Canadian telecom giant Rogers Communications about cutting domestic rates for Freedom Mobile customers when they roam on the Rogers network, the Globe & Mail reported on Friday citing sources.

The telecom companies are looking for ways to win the federal industry minister’s approval for Quebecor’s acquisition of Freedom Mobile from Shaw Communications Inc as a part of larger takeover of Shaw by Rogers, the report said.

Quebecor unit Videotron’s takeover of Freedom Mobile still requires Industry Minister François-Philippe Champagne’s sign-off as his department has to allow the transfer of Shaw’s wireless licenses to Videotron, the report added.

Read more: Canada’s Regulator Continues Push Against Rogers-Shaw Deal

Rogers and Videotron are in talks over a number of commercial issues in order to meet the government’s conditions, according to the report.

Rogers and Shaw, who are on the cusp of closing the $20 billion deal, agreed to the sale of Freedom Mobile to placate antitrust concerns.

Rogers and Shaw have extended the deadline for their merger to Feb. 17 from January end, as the companies await government approval.