Rogers Communications Inc.
) announced that the company has entered into a 12-year broadcast
and multimedia agreement with National Hockey League (NHL) for
national rights to NHL games on all platforms and languages. The
agreement will include all games, the playoffs and the Stanley
Cup final which Rogers can stream live through the Internet on
mobile devices and over satellite radio in addition to
The 12-year agreement will start from the 2014-2015 session
and will continue up to the 2025-2026 session. Rogers will pay
approximately $4.96 billion to NHL throughout the 12-year term.
The company has decided to sublicense the networks to national
broadcasters CBC and TVA Sports to air selected regular and
post-season games. The financial terms of the sub-licensing deals
are not disclosed. However, the agreement is subject to
approval by the NHL's Board of Governors at its meeting on Dec 9
Rogers is the largest telecom operator in Canada with a
significant heterogeneous portfolio consisting of wireless,
wireline, cable TV and TV broadcasting networks. The company,
), completed the acquisition of a 75% stake in Maple Leaf Sports
& Entertainment. With this acquisition, Rogers can deliver
high quality sports content anywhere, anytime, on any platform
through its wireless/cable networks and broad range of media
On Jan 14, 2013, Rogers entered into an agreement with
Shaw Communications Inc.
) to acquire Shaw's cable system in Hamilton, Ontario and secure
an option to purchase Shaw's Advanced Wireless Services (AWS)
spectrum holdings in 2014. Rogers will sell its one-third
interest in specialty channel, TVtropolis, to Shaw and has also
entered into negotiations with the latter for the provision of
certain services in Western Canada. Rogers will invest about $700
Nevertheless, Rogers' Cable operations are currently facing
increased competition. BCE Inc.'s entry into cable TV services
through its subsidiary Bell Canada has increased competitive
pressure. The company is aggressively rolling out IPTV network.
), is also rapidly gaining market traction. At this juncture, a
major deal will NHL will definitely help to strengthen Rogers'
top line. Rogers currently has a Zacks Rank #3 (Hold).
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