CTV GIVES NOD TO BCE OFFER
By Adnews Staff
Toronto-based CTV Inc. has recommended Montreal-based BCE Inc.'s offer to buy the television network to its shareholders. "CTV welcomes the improved BCE offer and is satisfied that it is in the best interests of its shareholders and the company itself," Allan Beattie, chairman of CTV, said in a statement. BCE first made its offer to buy the network in late February for $38.00 a share or $2.3 billion. BCE has since increased its offer to $38.50 per share. CTV, following its recommendation of the offer, has signed support agreements with BCE which prevent CTV from seeking bids from other potential purchasers. If CTV receives an unsolicited proposal, BCE holds the right to amend its offer or be paid a break-up fee of $70 million if CTV's board withdraws its recommendation of the BCE offer. The new offer by BCE remains subject to approval by the Canadian Radio-television and Telecommunications Commission.