Rogers gets CRTC’s OK to buy CityTV stations but must sell two religious stations
Published: Friday, September 28, 2007 | 12:28 PM ET
Canadian Press: THE CANADIAN PRESS
GATINEAU, Que. – Rogers Communications Inc. (TSX:RCI.A) got the CRTC’s approval Friday for its acquisition of the five Citytv stations in Toronto and four major western cities, although there were conditions attached by the federal regulator.
Rogers struck a $375-million all-cash deal to acquire the Citytv television stations in June after the CRTC blocked CTVglobemedia from acquiring them as part of its purchase of Chum Ltd.
Originally, CTVglobemedia had wanted to keep the CityTV television stations and sell its A-channel TV stations in smaller cities to Rogers, which is active in wireless telecommunications, cable distribution, radio, television, publishing and sports entertainment.
However, the Canadian Radio-television and Telecommunications Commission said that it didn’t want one owner to have both CTV and Citytv television stations in the same markets.
Besides Toronto, the other Citytv stations are in Winnipeg, Edmonton, Calgary and Vancouver.
CTVglobemedia was able to become a major radio broadcaster for the first time by acquiring Chum’s radio network. It also greatly enlarged the number of specialty cable channels it owns.
Meanwhile, the CRTC said Friday that Rogers will be required to sell its two religious stations, CHNU-TV Fraser Valley and CIIT-TV Winnipeg within 12 months.
Rogers Media also made a commitment to maintain independent news departments and separate presentation structures for its Citytv and Omni stations.
The CRTC is also requiring Rogers Media to maintain Chum’s annual payments to programming and industry initiatives, including the Allan Waters Canadian Content Initiative – named in honour of the man who made Chum Ltd. into a major national broadcaster.
The CRTC also approved the $1.1-billion acquisition of Standard Radio’s 52 radio stations and two television stations by Montreal-based Astral Media Inc. (TSX:ACM.A).
The Astral-Standard combination will create the country’s largest national radio networks.
