Friday, 8 May 2009

Bell Mobility purchases Virgin Mobile – Canada

Bell Mobility has announced its purchase of Virgin Mobile Canada. Bell Mobility, who already owned 50% of Virgin Mobile Canada, paid the reported sum of CAD 142,000,000 (USD 123,000,000) for Virgin Group’s half of the MVNO.

The purchase also included a long-term licensing deal which will allow Bell Mobility to continue using the Virgin Mobile brand in Canada.

Commenting on the deal George Cope, President and Chief Executive Officer of Bell said: "Bell Mobility's acquisition of Virgin Mobile Canada supports our strategic imperative to Accelerate Wireless, a core component in Bell's overall strategy to achieve our goal: To be recognized by customers as Canada's leading communications company.”

Although Virgin Mobile Canada will continue to act as an independent entity it will be able to take advantage of improved operational efficiency by sharing handsets, network and Bell owned retail outlets.