WIND Mobile to focus resources on providing strong competition and LTE rollout in Ontario, British Columbia and Alberta
WINNIPEG AND TORONTO, July 31, 2015 /CNW/ - (TSX:MBT) MTS, Manitoba's leading full-service telecommunications provider, has acquired 15 MHz of paired AWS-1 spectrum in Manitoba from WIND Mobile. This acquisition of valuable spectrum - coupled with the spectrum acquired in the Federal government auction earlier this year - will allow MTS to significantly increase the speed and customer experience on the MTS wireless network to the benefit of many Manitobans.
"We are appreciative of the concrete steps that the government has been taking to create more choice, lower prices and better wireless service for Canadians and their families," said MTS Allstream CEO Jay Forbes. "This deal is great news for our Manitoban customers as the use of mobile video increases. We are excited to be taking a big step to improve the wireless experience for our fellow Manitobans and to focus our resources right here at home."
MTS will pay $45 million to WIND for the spectrum financed using existing credit facilities which it plans to repay following the sale of Allstream.
"This deal is exciting for WIND customers and for Canadians as we will be able to focus our resources on providing strong competition in Ontario, British Columbia and Alberta," said WIND Mobile CEO Alek Krstajic. "These sale proceeds, including our recent spectrum acquisitions from Rogers as well as the AWS-3 spectrum auction, will be used towards network expansion and quality improvements including the LTE rollout".
"The increased range of services and choices being made available to Canadians through wireless providers like MTS and WIND Mobile are further evidence of the benefits of greater competition that has resulted from the federal government's continued efforts to create a more level playing field, and we thank them for that," Krstajic said.
About MTS Inc.
MTS is Manitoba's leading communications company, connecting people and places with wireless, high-speed Internet, TV, home phone and security services. MTS also offers a full suite of business solutions, including information technology, data storage and cloud computing through EPIC Information Solutions and MTS Data Centres. Founded more than a century ago and deeply rooted in the community, MTS provides grants, scholarships, sponsorships and volunteer support to youth-serving organizations across the province through MTS Future First. MTS is wholly owned by Manitoba Telecom Services Inc. (TSX: MBT). For more on MTS's products and services, visit www.mts.ca.
About WIND Mobile
WIND Mobile is dedicated to improving the Canadian wireless experience by offering customers simple and transparent plans, including real unlimited data/voice/text with no-term contracts and no hidden fees. Committed to being Canada's 4th largest carrier, WIND has more than 800,000 happy customers in Canada. Learn more about WIND Mobile at WINDmobile.ca or follow online at facebook.com/WINDmobile or twitter.com/WINDmobile
Forward-looking Statements Disclaimer
This news release includes forward-looking statements and information (collectively, the "statements") about the sale of spectrum, sale of Allstream, plans to repay MTS's credit facilities, and MTS's and Wind's products and services that are subject to risks, uncertainties and assumptions. As a consequence, actual results in the future may differ materially from any conclusion, forecast or projection in such forward-looking statements. Therefore, forward-looking statements should be considered carefully and undue reliance should not be placed on them. Examples of statements that constitute forward-looking information may be identified by words such as "believe", "expect", "project", "should", "anticipate", "could", "target", "forecast", "intend", "plan", "outlook", "see", "set", "pending", and other similar terms.
Factors that could cause anticipated opportunities and actual results to differ materially include, but are not limited to, matters identified in the "Material assumptions" section and the "Risks and uncertainties" section of MTS's 2014 Annual Management's Discussion & Analysis, Q2 2015 Management's Discussion & Analysis, and 2014 Annual Information Form, all of which are available on SEDAR www.sedar.com.
Please note that forward-looking statements reflect Management's expectations as at the date hereof. MTS and Wind disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
SOURCE MTS Allstream
Image with caption: "MTS (CNW Group/MTS Allstream)". Image available at: http://photos.newswire.ca/images/download/20150731_C9318_PHOTO_EN_44058.jpg
Image with caption: "WIND Mobile (CNW Group/MTS Allstream)". Image available at: http://photos.newswire.ca/images/download/20150731_C9318_PHOTO_EN_44057.jpg
For further information:
Media: Melanie McKague, Corporate Communications
Investors: Paul Peters, Investor Relations
Media: Amanda Gun-Munro, Veritas Communications