The shareholders of Sirius Satellite Radio and XM Satellite Radio voted Tuesday by an overwhelming margin to approve Sirius' proposed acquisition of its rival.
Sirius said 96 per cent of its shareholders gave the "thumbs up" to the all-stock deal; at XM, the approval was 99.8 per cent.
Despite the two endorsements, the merger is far from being a done deal. Regulatory approval must also be obtained from the U.S. Justice Department and the Federal Communications Commission. That could be tricky.
Some consumer groups in the U.S. have already spoken against the merger, saying it would create a monopoly in the U.S. satellite radio market.
But Sirius and XM have argued that the merger should be allowed, saying they really do have plenty of competition from iPods, internet radio, regular radio, and cellphones that can download and play music.
'Business as usual' in Canada ... for now
The two Canadian satellite radio companies are separate entities and are not immediately affected by Tuesday's merger vote at the two U.S. companies. But there's speculation that if the U.S. merger goes through, a Canadian merger won't be far behind.
XM Canada's parent is Canadian Satellite Radio Holdings — a publicly-traded company. XM Canada is run by Canadian Satellite Radio Holdings of Toronto, in partnership with XM Satellite. It announced in September it had 306,000 subscribers in Canada.
Sirius Canada Inc. is jointly owned by U.S.-based Sirius Satellite Radio, the CBC, and Standard Broadcasting Inc. It boasts 500,000 Canadian subscribers.
A merger of the two Canadian satellite radio firms would require CRTC approval. For now, at least, it's "business as usual," said Jeff Roman, a spokesperson at Sirius Canada.
When news of the $13-billion US merger proposal was announced in February, XM Canada was enthusiastic.
"This is great news for the satellite radio industry in North America and could offer further benefits to consumers, retailers, partners and shareholders," John Bitove, chairman of Canadian Satellite Radio Holdings, said in a statement at the time.
Related
More Media Headlines »
- February trial set for 80s star Boy George
- Former Culture Club frontman Boy George drew a large crowd in London on Thursday, having to wade through a media scrum to make his court appearance on a false imprisonment charge.
- CBC to amalgamate English-language operations
- The CBC announced on Thursday plans to integrate its English-language services under one executive, its current English television vice-president, Richard Stursberg.
- Venezuelan lawmaker's violent outburst beamed worldwide
- A Venezuelan politician's violent attack on a local television news personality has grabbed headlines in the South American country and is being watched around the globe.
- Arts groups rail against CanWest-Goldman Sachs deal for Alliance Atlantis
- The proposed takeover of Alliance Atlantis by CanWest Global Communications and its U.S. partner Goldman Sachs came under fire again on Tuesday from Canadian arts groups.
- Rock icon Brian May to head British university
- The world of British academia is welcoming Brian May with open arms, with the Queen guitarist and astrophysicist named a university chancellor on Monday.
More Arts Headlines »
- Pullman books under review by 2 more Catholic boards
- Two other Toronto-area Catholic boards of education are studying copies of Philip Pullman's His Dark Materials trilogy after the Halton District Catholic School Board removed the children's books from its library shelves.
- N.J. orchestra flips its rare strings for $20M US
- Four years after it bought a collection of rare stringed instruments, including pieces by master craftsmen Stradivari and Guarneri, a New Jersey orchestra has decided to resell them, with a catch.
- Piracy suit launched by Hollywood set to go to Chinese court
- A new lawsuit over film piracy, one of several launched in the past two years by Hollywood studios, is set to go to court in China on Nov. 29.
- Alluring Elizabeth I portrait fetches more than $5M
- An early portrait of Queen Elizabeth I that experts believe was commissioned to advertise the monarch to potential suitors sold for more than $5 million in London on Thursday.
- February trial set for 80s star Boy George
- Former Culture Club frontman Boy George drew a large crowd in London on Thursday, having to wade through a media scrum to make his court appearance on a false imprisonment charge.
Arts Features
Blog Watch
Most Blogged about CBC.ca Articles