BCE Inc. (BCE/NYSE) announced today it agreed to be acquired by the investment arm of Ontario Teachers' Pension Plan, Providence Equity Partners and Madison Dearborn Partners, for $48.82 billion in cash.
Reports are that this is the biggest buyout in Canada's history and the telecommunications industry globally.
Under the deal, BCE's shares will be purchased for C$42.75 or $40.15, a 40% premium over the average first-quarter share price before it rose in late March amid rumors of a buyout. BCE was recommended on Controlled Greed.com in August 2006 at $23.01. This position stands to gain more than 75.5%, not including dividends, when the deal is completed.
I particularly like that the deal is for cash, instead of those messy cash-and-stock transactions.
You can read the Bloomberg report of the deal here.
CORRECTION: I forgot to factor in that I sold 25% of BCE at $36.31 in May. So anyone following this blog's moves stands to see the position gain 70.3%, non including dividends, when the deal is completed.