Toronto, Ontario – Sirius Canada and XM Canada will merge, offering listeners a broad range of stations and eventually a “best-of-both” channel package.
The companies entered into a definitive agreement to combine in an all-stock merger of equals with a combine enterprise value of approximately $520 million. Upon completion, Sirius Canada president and CEO Mark Redmond will hold those offices in the combined company, while XM Canada CFO Michael Washinushi will retain that title.
“The benefits of a merger are clear and together we’ll be better able to create more growth and opportunity for shareholders, accelerate technological innovation and ensure that satellite radio is able to compete in the rapidly evolving audio entertainment industry,” Redmond said. “This combination is the next logical step in the evolution of satellite radio in Canada.”
The combined company will have a total subscriber base of over 1.7 million. The companies will continue to operate independently until the transaction is completed.