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No, but shares of both will see some action today for sure. So with a 70% premium will Shaw stock likely open close to that price. Just curious as I don't own either but was wondering what happens for the average investor in regards buying shares today? If one put a market order in at the open, is it a crap shoot as to want you would get it for or with so much of a premium on the buyout offer you could make some money for a day trade.

* I may have answered my question :) the Bid/Ask as of 9:12 is $34
 

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I didn’t see it coming
Now that I think about it, it should have been obvious.
Rogers tried to buy Cogeco, but that was refused, clearly they were on the hunt to buy something.

Also with these interest rates, you SHOULD borrow and spend like crazy to buy good assets. That's the intention of low rates.
 

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Now that I think about it, it should have been obvious.
Rogers tried to buy Cogeco, but that was refused, clearly they were on the hunt to buy something.

Also with these interest rates, you SHOULD borrow and spend like crazy to buy good assets. That's the intention of low rates.
BNN says the Cogeco prospects are still on...
 

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It will be interesting what the regulators think of the offer and if Rogers will need to make any changes to get it approved.
I think that the argument will be "cable" and "phone" compete, and that's enough.

Honestly I think the regulated infrastructure, with the monopoly power that brings, should be legally separate from their other divisions (content)
 

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Discussion Starter · #8 ·
I am just curious but what happens to the shaw stock if the buyout is successful? Will shaw cease to be on the tsx? Or will it continue as it is now with the new price boost it got from Roger's buying it?
[/QUOTE
The transaction is being structured as a Plan of Arrangement under which all shares of Shaw will be acquired by Rogers. There will be no Shaw shares to trade.
 

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It will be interesting what the regulators think of the offer and if Rogers will need to make any changes to get it approved.
Time to allow foreign competition.
I believe the main driver for this deal is the new reality - the 5G network. Rogers has been in the mobile business for many years - Shaw is a latecomer and was going to need massive capital to get up to speed.
Everything is kind of intertwined. The feds seem to want to force a 4th competitor in every market but the capital investment required in the industry is huge and it seems to have been a challenge for Shaw to scale up. If you look to the States, even they couldn't support a 4th national competitor as illustrated by the Sprint and Tmobile merger. If the deal does go through, the Feds will at minimum, have to open competition on the MVNO front. If the market is opened up the foreign competitors, watch for BCE and T to merge. However, I don't see foreign competition being the holy grail as they will still want to get decent returns on their capital investments. While there might be a little bit of savings on plans because larger companies can leverage off their scale, the reality is that the Canadian market is only so big and the infrastructure costs high for the coverage they need to provide and to stay current.
 

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Everything is kind of intertwined. The feds seem to want to force a 4th competitor in every market but the capital investment required in the industry is huge and it seems to have been a challenge for Shaw to scale up. If you look to the States, even they couldn't support a 4th national competitor as illustrated by the Sprint and Tmobile merger. If the deal does go through, the Feds will at minimum, have to open competition on the MVNO front. If the market is opened up the foreign competitors, watch for BCE and T to merge. However, I don't see foreign competition being the holy grail as they will still want to get decent returns on their capital investments. While there might be a little bit of savings on plans because larger companies can leverage off their scale, the reality is that the Canadian market is only so big and the infrastructure costs high for the coverage they need to provide and to stay current.
Maybe we need to untangle the network and the retail. Make it easier for MVNOs and force incumbents to provide better access to their networks. These companies are extracting enormous rents from Canadians.
 

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The deal is supposedly for $40.50 per share. I have this in RRSP's and a taxable account for the nice div but will sell if it gets past my target, just in case the deal goes south
Mine is all taxable. My ACB is ~$27 so I am suddenly in the black. I am unsure if I would sell and at what price. It has always been a long term hold for me -- just sitting back and collecting the dividends. What price are you hoping for?
 
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