Wind Mobile Seeks to Acquire Mobilicity’s Airwaves in Sale Process
Wind Mobile’s Anthony Lacavera has already emphasized that Wind Mobile is interested in acquiring Mobilicity: Now there is a chance to make this happen. Globalive Wireless Management Corp., the parent company of Wind Mobile, confirmed its participation in Mobilicity’s court-monitored sale, the Globe and Mail reports.
“Wind requires additional spectrum in order to advance our business plan for next generation wireless services and compete long-term on a level playing field with the Big Three,” Wind Mobile chief executive Anthony Lacavera said in a statement. “Wind has always maintained the need for new entrants to consolidate and work together to compete against the oligopoly,” he added.
The two wireless startups have been in talks since 2008, and Wind Mobile even made an offer to Mobilicity, but without success. Since then, the game has changed a bit. Wind Mobile has managed to become the biggest of the wireless startups, although it has its own share of uncertainty, but Mobilicity has ended up in debt and was finally put under court protection from creditors since September.
In fact, there was a buyer, Telus, but Ottawa rejected the incumbent’s two bids, due to rules that prohibit the transfer of wireless spectrum purchased by new entrants before 2014.
A Wind Mobile-Mobilicity merger was discussed under the aegis of Verizon: The US-based red carrier was rumoured to enter the Canadian wireless market and reportedly bid on both startups.
Back then, a Wind Mobile-Mobilicity merger was mentioned as a great start for Verizon: Now, the merger could be seen as a possible way to create a fourth national wireless player, especially now that the forthcoming wireless spectrum auction will enable space for competition on a national scale.