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Wednesday Aug 20 2008
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BCE buyout runs into trouble
The $34.8bn (C$34.8bn) buyout of BCE, Canada’s largest telecommunications company and operator of Bell Canada, has become more questionable as the banks funding the deal sought to renegotiate the financing terms, reports Reuters. The banks behind the buyout of BCE submitted new financing terms to the buyout group on Friday, said a source familiar with the situation. The new set of terms contained higher interest rates and other “onerous” conditions, the source said. However BCE said Monday it expected the deal to close by the end of the second quarter.
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