Shaw Communications has announced they will be buying WIND Mobile, the previously independent mobile carrier, for $1.6 billion.
This is the first venture into mobile business for Calgary-based Shaw, which currently offers TV, internet, and landline services, along with numerous television networks including Global Television.
“The acquisition of WIND provides Shaw with a unique platform in the wireless sector which will allow us to offer a converged network solution to our customers that leverages our full portfolio of best-in-class telecom services, including fibre, cable, WiFi, and now wireless,” says CEO Brad Shaw.
WIND, owned by Mid-Bowline Group Corp., is Canada’s largest independent carrier with almost one million customers in B.C., Alberta, and Ontario. They have seen a 47% increase in subscribers over the last two years, boosting their expected 2015 revenue to $485 million.
Shaw will assist WIND with an upgrade to 4G LTE wireless service by 2017.
“This transaction represents a transformational step in the history of Shaw and we are excited about our future growth prospects in mobile. This growth will be accelerated by combining Shaw’s existing customer relationships, trusted brand and wireline and WiFi infrastructure with WIND’s impressive asset base, including its existing spectrum position and mobile network,” added Shaw.
The deal is expected to close during the third quarter of the 2016 fiscal year.