Toronto Stock Exchange Symbol: XSR
Merger on track to close by June 2011
TORONTO, April 11 /CNW/ - Canadian Satellite Radio Holdings Inc. ("CSR"
or the "Company"), parent company of XM Canada (TSX: XSR), along with
SIRIUS Canada Inc., welcome today's Canadian Radio-television and
Telecommunications Commission (CRTC) ruling which includes
authorization of the transaction that will result in the merger of
Canada's two satellite radio businesses, XM Canada and SIRIUS Canada
"This decision will lead to the creation of a stronger combined
organization, better equipped to innovate and compete in the broader
audio entertainment marketplace," said Mark Redmond, President & CEO of
both SIRIUS Canada and the merged entity. "We are pleased that the
CRTC recognized the clear benefits derived from this merger. This is
an exciting time for SIRIUS|XM Canada, and we look forward to
continuing to offer a world-class entertainment experience for our
current and future subscribers."
"Today's decision is great news for our subscribers, shareholders,
employees and partners, keeping us on track for completing this
transaction by June," said John Bitove, Executive Chairman of CSR.
"SIRIUS|XM Canada will now have more than 1.8 million subscribers in
Canada, and this merger will create long-term shareholder value."
In November 2010, SIRIUS Canada and CSR agreed to merge in order to
create a stronger platform for future innovation within the Canadian
audio entertainment industry. The combined company will leverage key
content and programming relationships and distribution agreements with
every major automaker and retailers nationwide. Subscribers will
continue to enjoy a broad spectrum of commercial-free music channels,
plus exclusive sports, talk and news content featuring today's biggest
names in audio entertainment.
At the CSR (XM Canada) annual general meeting held in Toronto on
February 17, 2011, shareholders unanimously approved the Merger
recognizing that the merger would enhance the long-term success of
satellite radio in Canada.
On February 23, 2011, the Competition Bureau issued to the Company a
No-Action Letter under the Competition Act, and announced that it did
not intend to make an application to the Competition Tribunal to
challenge the proposed merger with Sirius Canada Inc. under the merger
provisions of the Competition Act, recognizing that the proposed transaction would not likely give rise
to a substantial lessening or prevention of competition.
The approximate ownership interest in CSR following closing of the
transaction will be as follows, the balance being widely held:
CSRI Inc., 30.0% voting interest
CBC/Radio-Canada 20.2% voting interest
Slaight Communications, 20.2% voting interest
Sirius XM Radio Inc. (NASDAQ: SIRI) 25.0% voting interest
The Merger remains subject to the satisfaction of certain closing
conditions and is scheduled to close by June 2011.
About Canadian Satellite Radio Holdings Inc.
To find out more about Canadian Satellite Radio Holdings Inc. (TSX:
XSR), visit www.xmradio.ca.
For further information contact:
About SIRIUS Canada Inc.
To find out more about SIRIUS visit www.sirius.ca
SOURCE XM Canada
For further information: