WIND Mobile makes CA$190 million bid in Mobilicity auction?

WIND Mobile

The Mobilicity auction, a bid to find itself a buyer, closed earlier this week. The company has yet to announce any details but did request an extension of its creditor protection to February 18, 2014, while it negotiates with the successful bidder (or bidders) to close the sale. WIND Mobile was the only party to step forward and confirm its participation in the auction but it did not reveal any details of its bid. Bloomberg has now learned through “a person with knowledge of the matter” that the carrier submitted a bid worth about half of what a failed TELUS bid offered earlier this year. If accurate, this would value WIND Mobile’s bid at about CA$190 million.

Needless to say, Mobilicity would not confirm on the report. Company spokesman Nick Anstett also declined to say how many bids had been received, adding only that a decision would likely come in the next “several weeks.”

With the Canadian government having vowed to keep Mobilicity out of the hands of Canada’s big three carriers (Bell, Rogers and TELUS), it’s not clear who else might have bid for Mobilicity’s assets and customer base.

As for WIND Mobile, acquiring Mobilicity would give it not only an additional 175,000 customers or so but provide it with additional radio spectrum with which to strengthen and expand its own network.

Source : Bloomberg