Bell Media closes C$410 million acquisition of OUTFRONT Media Canada

by marika_gabriel | 22 June 2024 7:00 am

OUTFRONT Media Inc. and Bell Media Inc., a subsidiary of BCE Inc., have finalized the sale of OUTFRONT Media’s Canadian business to Bell Media for C$410 million in cash.

According to The Canadian Press, the Competition Bureau has mandated Bell Media divest nearly 700 advertising displays in Ontario and Quebec as part of the acquisition deal, citing concerns that the merger could substantially reduce competition in key markets. Specifically, the bureau highlighted potential impacts in Quebec City, Trois-Rivières, Sherbrooke, and the Greater Montreal and Toronto areas, where Bell and Outedge Media Canada (formerly OUTFRONT Media’s Canadian arm) were identified as significant competitors.

“The loss of that rivalry would have resulted in higher prices and fewer options for customers,” the bureau stated in a release, according to msn.com. To address these concerns, Bell Media is required to sell off 669 advertising displays across these regions, including digital displays, to ensure continued competition.

Sean Cohan, President of Bell Media, expressed optimism about the acquisition’s closure, noting, “Our now expanded national inventory of both digital and out-of-home (OOH) assets will drive even better, industry-leading results for our advertising partners.”

Bell Media, which acquired Astral Media in 2013, has significantly bolstered its OOH advertising portfolio in Canada. Prior to the Competition Bureau’s conditions, analysts projected the acquisition would increase Bell’s market share in the OOH advertising sector from approximately 20 per cent to 35 per cent, as per The Canadian Press.

Source URL: https://www.signmedia.ca/bell-media-closes-c410-million-acquisition-of-outfront-media-canada/

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