Stikeman Elliott legal counsel in this week's deals roundup
Deal: BCE to expand fiber footprint with proposed acquisition of US internet firm Ziply
Value: $7 billion
This week saw some of the most talked about deals in the industry, including Canada’s largest telecommunications company BCE’s proposed $7 billion acquisition of US internet firm Ziply to expand its fiber footprint. Among the legal counsel in this roundup are Stikeman Elliott, McCarthy Tétrault, Blakes, and Osler.
BCE Inc., Canada’s largest telecommunications company, is expanding into the United States by its proposed $7 billion acquisition of internet provider Ziply Fiber. The deal consists of $5 billion in cash and $2 billion in assumed debt.
Weil, Gotshal & Manges LLP is serving as the legal counsel to BCE while Wiley Rein LLP is acting as regulatory counsel to Ziply Fiber.
BCE plans to fund $4.2 billion of the acquisition cost through proceeds from its stake sale in MLSE and will use a discounted dividend reinvestment plan for the remaining balance.
Upon deal completion, BCE will operate in four U.S. states in the Pacific Northwest – Washington, Oregon, Montana, and Idaho – and provide fibre internet services to 1.3 million residential and business locations. Meanwhile, Ziply Fiber will operate as a separate business unit and will continue to be headquartered in Kirkland, Washington.
“This acquisition marks a bold milestone in Bell's history as we lean into our fibre expertise and expand our reach beyond our Canadian borders,” said BCE President and CEO Mirko Bibic. “Fibre is at the heart of what we do, and we're proud to connect people and businesses and enable them to do more through our fibre networks. By bringing together Bell and Ziply Fiber's exceptional talent, we'll accelerate our growth while continuing to deliver significant value for our customers and shareholders.”
“Bell's leadership and vision aligns perfectly with our commitment to improve the connected experiences of our communities through fast, reliable fiber Internet and a refreshingly great experience,” said Ziply Fiber CEO Harold Zeitz. “This acquisition enhances our growth strategy with the scale and experience of one of North America's leading fiber operators. I'm also grateful for the support of our original partners at both Searchlight Capital and WaveDivision Capital.”
The deal is expected to be completed in the second half of 2025, subject to customary closing conditions and certain regulatory approvals.
Cerrado Gold Inc., a Toronto-based gold production, development, and exploration company focused on projects in the Americas, has completed the previously announced deal with Hochschild Mining PLC's subsidiary, Amarillo Mineração do Brasil Ltda., in connection with Amarillo exercising its option to acquire a 100 percent interest in Cerrado’s Monte Do Carmo (MDC) project in Tocantins, Brazil.
The deal is valued at approximately $83 million (US$60 million) and includes a series of payments - an initial $15 million previously received, a $30 million installment before closing, and two post-closing milestone payments totaling $15 million.
Legal counsel on the deal includes Linklaters LLP, representing Hochschild, with Stikeman Elliott LLP overseeing Canadian aspects of the deal, and Brazilian firm Bichara Advogados managing local legalities.
Cerrado CEO and Chairman Mark Brennan said, “The proceeds from the sale of Cerrado’s MDC Project will allow us to achieve our goals of growing our MDN gold mine in Argentina, complete a feasibility study on our very robust Mont Sorcier Iron Ore Project, improve the balance sheet and enable the Company to pursue other growth opportunities to maximize shareholder value. Cerrado is now favorably positioned as one of the few well-funded, cash flow positive, stable junior producers in the sector.”
Probity Mining 2024-II Short Duration Flow-Through Limited Partnership initiated an initial public offering (IPO), targeting a maximum of $50 million.
The offering is managed by a syndicate of agents that included iA Private Wealth Inc., Richardson Wealth Ltd., Canaccord Genuity Corp., Raymond James Ltd., Ventum Financial Corp., Wellington-Altus Private Wealth Inc., and Sherbrooke Street Capital (SSC) Inc.
Getz Prince Wells LLP and Thorsteinssons LLP served as legal counsel to the partnership, while Stikeman Elliott LLP represented the agents.
The offering includes National, British Columbia, and Québec Class Units, each priced at $10.00 per unit. Funds will be directed toward acquiring Flow-Through Shares of Resource Issuers, focusing on maximizing tax benefits and achieving capital appreciation. The minimum subscription per investor is $5,000 (500 units).
The partnership aims to implement a liquidity alternative by March 31, 2026, to enhance investment returns for limited partners.
