Sirius Canada, XM Canada Announce Merger
November 24, 2010 at 11:31 AM (PT)
SIRIUS CANADA and XM CANADA parent CANADIAN SATELLITE RADIO HOLDINGS will follow their U.S. counterparts in merging, with the companies combining in an all-stock deal. The swap is valued at approximately C$520 million, including C$130 million in long-term debt.
XM CANADA's parent, headed by JOHN BITOVE, is 47% owned by the U.S. firm SIRIUS XM RADIO, which also owns 20% of SIRIUS CANADA with the CBC and SLAIGHT COMMUNICATIONS each owning 40%. After the merger, which requires CRTC approval, SIRIUS XM will own 37.1% of the Canadian company, with BITOVE holding 22.7% and the CBC and SLAIGHT owning 15% each.