The merger of satellite radio companies XM Canada and Sirius Canada Inc. is on course to wrap up later this month.
Canadian Satellite Radio Holdings Inc., the parent company of XM Canada, says it has received all of the necessary regulatory and government approvals for the merger, which is valued at about $520 million and includes $130 million in long-term debt.
CSR Holdings expects the transaction to be completed on June 21.
The all-stock deal was announced last November as part of an effort to strengthen the Canadian companies’ competitive stance amid an industry crowded with audio entertainment options ranging from iPods to over-the-air radio stations.
Their American counterparts, XM Radio and Sirius Satellite Radio, merged in 2007.
Once the proposed combination is completed, the two services will be owned by Canadian Satellite Radio Holdings which, in turn, will have numerous stakeholders including the federal government’s Canadian Broadcasting Corp. and Toronto businessmen John Bitove and Allan Slaight.
About 4% of the company’s shares will be traded publicly.
