Thank you for sharing!

Your article was successfully shared with the contacts you provided.

On Tuesday, the Supreme Court of Canada will hear the appeal by BCE Inc. of the Quebec Court of Appeal ruling in favor of Bell Canada debenture holders. The bet seems to be that the court will overturn the decision, moving the C$52 billion ($53.2 billion) buyout of BCE by Teachers’ Private Capital, Providence Equity Partners Inc., Madison Dearborn Partners LLC and Merrill Lynch Global Private Equity toward a funding. A ruling in favor of the lower court could kill the deal.

The case is of enormous interest to everyone involved in M&A in Canada. The appellate court’s decision caught risk arbitrageurs and lawyers by surprise and offered a potential out to lenders for the largest North American buyout to date. The Quebec Appeal overturned a lower court ruling that said the plan of arrangement, which requires court approval, was not unfair to Bell Canada bondholders. Debtholders have argued that they suffer from the LBO because their debenture fell to junk status and their price has dropped 18 percent.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Advance® Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]

Reprints & Licensing
Mentioned in a Law.com story?

License our industry-leading legal content to extend your thought leadership and build your brand.


ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.