Why Canada’s Telecom Giants Are Finally Selling Off Their Tower Assets
So here’s the big question a lot of people are asking right now: why are Canada’s largest telecom companies—Rogers, Bell, and Telus—suddenly selling stakes in the very infrastructure they once considered sacred? For years, these companies swore by owning their own networks. It was all about control, reliability, and staying ahead of competitors. But now? We’re watching a pretty major shift. Let me break it down for you.
Rogers just closed a deal that brought in a massive $7 billion by selling a minority stake in part of its wireless network. BCE and Bell are now doing the same—they’re reviewing what they call “non-core” assets, trying to unlock value from their infrastructure. And Telus? They’re putting a stake in their nationwide tower network up for grabs with a price tag that could hit $1.5 billion. That’s a lot of change in just a few months.
What’s really going on here is a mix of financial pressure and changing market dynamics. These companies have racked up more than $100 billion in debt over the years—mostly from spectrum auctions, acquisitions, and expanding their networks. Now, with a slowing economy, lower immigration rates, and high interest rates, growth is becoming harder to come by. Investors are getting nervous, and maintaining a good credit rating is critical. So, what do you do when you're strapped for cash but sitting on billions in physical assets? You start selling—strategically.
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And while these sales might seem like a surrender, they’re actually carefully calculated moves. By selling only minority stakes, companies like Rogers and Telus get a much-needed cash injection while still maintaining control of their networks. It’s a way to boost liquidity without completely giving up the reins. Plus, it helps meet government restrictions on foreign ownership of critical infrastructure.
There’s also a big shift in competitive logic. Back in the day, owning the whole network gave these companies a serious edge. But now, thanks to regulatory changes, competitors can access parts of those networks at regulated rates anyway. So that advantage isn’t as big as it used to be. And with Freedom Mobile—backed by Quebecor—expanding fast and relying heavily on leasing tower space from competitors, it’s clear the market is evolving.
Globally, the trend has already been set. Look at Verizon’s $3.3 billion tower sale last year in the U.S. Investors are hungry for stable, utility-like assets, especially with the current economic uncertainty. And Canadian telecom infrastructure, which is still mostly owned by the carriers themselves, represents a rare opportunity for big returns.
So, did these telecom giants want to do this? Probably not initially. But between investor pressure, market conditions, and strategic foresight, it’s starting to look like the smartest play on the board. Think of it as them stocking up for a long winter—balancing the books, shoring up their position, and staying ahead of a changing game.
It’s not just about survival—it’s about staying competitive in a world that’s moving fast, and sometimes, that means letting go of the things you once held closest.
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