BCE Sells 49.9% Stake in Bell TowerCo to La Caisse for C$2.45 Billion

BCE Inc. has agreed to sell a 49.9 percent minority stake in a newly formed wireless tower infrastructure company, Bell TowerCo, to Caisse de Depot et Placement du Quebec for C$2.45 billion, equivalent to roughly US$1.75 billion. The deal was announced Tuesday and is intended to help BCE reduce its debt load, a pressing priority for Canada's largest telecom operator.

The transaction mirrors a similar deal La Caisse completed previously with Telus Corp., in which the Quebec pension manager acquired a 49.9 percent interest in Telus's tower spinout, Terrion, for C$1.26 billion. La Caisse is establishing itself as a significant investor in Canadian wireless tower infrastructure through these successive partnerships with the country's major carriers.

BCE retains majority control of Bell TowerCo under the arrangement. The proceeds from the stake sale are expected to strengthen BCE's balance sheet at a time when Canadian telecoms are under pressure to manage leverage amid elevated capital expenditure demands.