BCE, Canada's largest communications company, has announced that its wholly owned subsidiary, Bell Canada (Bell), has entered into a definitive agreement to acquire Ziply Fiber, a fiber internet provider in the Pacific Northwest of the US, for CAD 7.0 billion. The deal includes CAD 5.0 billion in cash and the assumption of CAD 2.0 billion in debt, which will be rolled over at the transaction's close.
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Expansion of Bell Canada’s Fiber Network
Ziply Fiber, which has grown since 2020 to serve over 1.3 million locations across four US states, plans to reach more than 3 million locations within four years, according to the official release. The closing of this acquisition will allow Bell Canada to expand its fiber network to over 12 million locations across North America by the end of 2028, positioning it as the third-largest fiber internet provider in the region.
"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. 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," said the CEO of BCE and Bell Canada.
"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. This acquisition enhances our growth strategy with the scale and experience of one of North America's leading fiber operators," said the CEO of Ziply Fiber.
Also Read: Ziply Fiber Claims America’s Fastest Internet With 50 Gbps Service Launch
Funding the Acquisition
Bell will use the estimated CAD 4.2 billion in net proceeds from the sale of its ownership stake in Maple Leaf Sports and Entertainment (MLSE) to fund the acquisition, supplemented by a USD 3.7 billion loan facility.
Expected Closing Date
The deal is set to close in the second half of 2025, subject to regulatory approval. Once the transaction has closed, Ziply Fiber will operate as a separate business unit and continue to be headquartered in Kirkland, Washington.
