Northwestel is set to be under new ownership in the near future.
Bell Canada, Northwestel's parent company, announced Wednesday that it will be selling the company to a consortium known as Sixty North Unity, which consists of organizations from all three territories, for around $1 billion. The deal would see Northwestel become the largest Indigenous-owned telecommunications provider in the world. Bell Canada plans to use the purchase money to pay down debt.
“Indigenous partnerships with industry have continued to evolve and expand," stated Darrell Beaulieu, a member of Sixty North Unity, in the release. "This collaboration across all three territories will allow us to own and operate a leader in northern telecommunications services and is the next logical step in the development and growth of our businesses. Bell has provided us the support necessary to realize this important opportunity.”
As part of the deal, Sixty North Unity plans to spend $4 million to build the Great Slave Lake Fibre Project and shore up service to the Yellowknife and South Slave regions of the NWT and further safeguard against the impacts of wildfires and other natural disasters. In Nunavut, Low Earth Orbit (LEO) satellite technology would bring better service for all 25 communities in the territory.
The operational make-up will remain the same with the company corporate headquarters remaining in Whitehorse, operational headquarters in Yellowknife and regional office staying in Iqaluit. Curtis Shaw, the company's current president, will remain in the role. The new owners also plan to increase Indigenous representation in the workforce through expanded training and mentorship programs.
The deal is subject to certain closing conditions such as due diligence, securing financing and receipt of regulatory approvals.