BCE & Rogers Cleared for MLSE Purchase

OTTAWA: The Canadian Radio-television and Telecommunications Commission (CRTC) has approved the sale of Maple Leafs Sports & Entertainment (MLSE) sports channels to Bell Canada Enterprises (BCE) and Rogers Communications, which will inject C$7.5 million into the Canadian production industry for new content.

The transaction is valued at C$1.32 billion. The agreement is for Leafs TV, Gol TV and NBA TV Canada, as well as two services that have not yet launched, Mainstream Sports and Live Music Channel. Part of the regulator’s policy for ownership transactions is that applicants must make specific incremental commitments to fund initiatives that will enhance the Canadian broadcasting system. In this case, the applicants proposed C$3.8 million in tangible benefits.

BCE and Rogers are required to spend C$7.5 million over the next seven years on the creation of new sports-themed programming by Canadian independent producers.

“When deciding whether or not to approve a proposed ownership transaction, the Commission must be persuaded, in light of the application and the public record that an approval is in the public interest,” said Jean-Pierre Blais, the chairman of the CRTC. “In this case, we have been convinced that the transaction benefits Canadians as it will lead to the creation of new home-grown sports programming.”