Canada’s telecommunications market underwent a little more consolidation this week when Bragg Communications, the parent company of Eastlink, acquired Bruce Telecom for CA$26.5 million.
Bruce Telecom is a small independent operator owned by the municipality of Kincardine in Ontario. It offers coverage in Kincardine, Port Elgin, Paisley, Tiverton, Southampton, Owen Sound and surrounding areas. It offers services that include local and long distance telephone, Internet access and digital TV.
“The Municipality takes our commitment to our taxpayers, customers, residents, and businesses seriously. We want to deliver the best services at the lowest cost,” said Mayor Kraemer.
“In order to do this, it is important that we look at new ways to do business, deliver services, and all opportunities to maximize the return of our community’s investment in Bruce Telecom. Given the advances and competition in the industry, it no longer made sense for the municipality to operate a telecom company, therefore we made the decision to sell the assets and operations of Bruce Telecom to Eastlkink, a family-owned Canadian business with strength and reputation to best serve our community.”
Eastlink already operates in the region and the purchase allows it to expand operations in Ontario. It also launched its own wireless service in the Maritimes in 2013 and is among the bidders in the 700MHz spectrum auction that is now underway.
The transaction is expected to close later this year.
Sources : Bruce Telecom // Cartt