Astral Media
![]() Astral's "lines making an A" logo from 2010 to 2013. | |
Formerly | Astral Communications Ltd. (1973–2000) |
---|---|
Company type | Public |
TSX:ACM.A, ACM.B | |
Industry | Mass media |
Founded | August 31, 1961 (as Angreen Photo) |
Defunct | July 5, 2013 |
Fate | Acquired byBell Media. |
Headquarters | Montreal,Quebec,Canada |
Key people | Ian Greenberg (President,CEOandco-founder) |
Revenue | ![]() |
$204.4 million (2012)[1] | |
Number of employees | 2,800+ (2010)[1] |
Website | astral |
Astral Media Inc.was a Canadianmedia conglomerate.It was Canada's largest radio broadcaster, with 84radio stationsin eight provinces. Astral was also a major player inpremiumandspecialtytelevision in Canada, with 23 specialty channels and two conventional stations. In addition, Astral had a presence inout-of-home advertising.
In March 2012,Bell Mediaannounced its intent to acquire Astral for $3.38 billion. Although an attempt to purchase the entirety of the company was blocked undercompetition law,theCRTCapproved a revised offer on June 27, 2013, which saw various Astral specialty channels and radio stations divested to competitors. The sale was consummated on July 5, 2013. Astral was dissolved later the same year as a result of Bell Media completing its acquisition of the company. Bell Media assumed some of Astral's television functions and absorbed some of its premium television services.
History
[edit]Angreen Photo and Astral Photo
[edit]Astral Media's roots lie with Angreen Photo, a Canadiancompanyfounded in 1961. It was created whenMontreal's Greenberg brothers,[2]led byHarold Greenberg,founded it to operate thephotographyconcession inMiracle Mart,adepartment storechain. Its acquisition in 1963 of Bellevue Pathé led to photography rights at the MontrealExpo 67World's Fair, and it eventually grew into a 125-store chain,Astral Photo,[2]the remnants of which are now owned by theBlack's Photographychain. The company grew quickly intomotion pictureprocessing after acquiring the Pathé-Humphries motion picture lab in 1968 and Associated Screen News Industries of Montreal in 1969.[2]
Astral Communications Limited
[edit]The company was constituted in 1973 under the name Astral Bellevue Pathé Limited. It eventually undertookvideocassetteduplication and videowholesaling.The company alsoproducedorexecutive producedover 100 featurefilms,television programsand televisionminiseries.The films were released byAmerican Cinema Releasing.[3]The company had operated such subsidiaries as Astral Films, Astral Film Productions Ltd. and Astral Video, as well as in 1987, a development consortium that was led byHarold Greenbergwith funding from theCBCcalled the Centre De Production De Montreal, which is set for open in 1989.[4]
In 1983, the Greenbergs acquired complete control of twopay televisionnetworks, First Choice (now known as The Movie Network) and Premier Choix TVEC (nowSuper Écran), at which point Astral ceased to be directly involved infilmand program production. The company would later expand its television operations by launching new specialty networks. In addition, it became involved with the home video and feature film market, lasting from the mid-1980s until at least 1996. In 1987, Astral Film Enterprises had teamed up withManagement Company Entertainment Groupto produce three feature films by 1988, with the first film slated to be in the co-production pact wasBoris and Natasha,Boardwalk,andVilla Golitsyn,which were proposed in the three-picture pact, but the projects, aside fromBoris and Natashawere never realized.[5]In 1996, Astral Communications decided to sell all of the program development and distribution divisions toCoscient Group.[6]In February 2000, Astral Communications changed its name to Astral Media, alongside Access Media.
![](https://upload.wikimedia.org/wikipedia/en/thumb/5/5a/Astralmedia.svg/220px-Astralmedia.svg.png)
Astral then expanded into radio, beginning with the 2000 acquisition of Radiomutuel, and the 2002 purchase of most of the radio assets ofTelemedia,although those companies' joint AM radio networkRadiomediawas ultimately sold toCorus Entertainmentfor competitive reasons. Radiomutuel also owned a controlling share ofoutdoor advertisingfirm Omni Outdoor (which eventually became the fully owned Astral Out-of-Home division), as well as several French-language specialty channels such asCanal Vie,Ztélé,Séries+,VRAK.TV,and 50% stakes inMusiquePlusandMusiMax(then co-owned withCHUM Limited).
On February 23, 2007, Astral Media announced that it had signed a letter of intent and had entered into exclusive negotiations regarding the acquisition of "substantially all of the assets" ofStandard Radio.[7]A formal agreement was later announced, with the proposed transaction being approved by theCRTCon September 28, and completed on October 29 of the same year. The transaction gave Astral Media a significant foothold in English-language radio.
In 2010, Astral Media relocated its headquarters to 1800McGill College Avenue,in a skyscraper rechristenedMaison Astral.In May 2010, the company unveiled a new logo featuring a multi-coloured "a" insignia (reflecting ideals of "collaboration" and "creativity" ). At this time, the company began to trade as simply "Astral".[8]
In the fall of 2011,Teletoon(co-owned withCorus Entertainmentat the time) adopted a new logo to reflect Astral's 50th anniversary.
Acquisition by Bell Media
[edit]On March 16, 2012, Astral Media announced that it had agreed to be acquired byBell Canadathrough itsBell Mediadivision for $3.38 billion. Astral Media shareholders approved the acquisition of all of its issued and outstanding shares by Bell Media on May 24, 2012;[9]the acquisition of Astral Media's issued and outstanding shares by Bell received approval by theQuebec Superior Courtduring a hearing on May 25, 2012.[10]
The proposed sale faced opposition: a coalition ofCogeco,Vidéotron,andEastlinkargued that Bell's market share following the merger would harmconsumer choice,and that Bell would raise carriage fees for Astral's channels (impacting smaller providers).[11]During a CRTC's hearing, theCanadian Broadcasting Corporationargued that Bell's proposal to use its mandatory tangible benefits to launch a French-language news channel (which would compete with its ownRéseau de l'information) was "self-serving and unprecedented."[12]In September 2012, theCompetition Bureaustated that it was becoming "increasingly concerned" about the implications of the merger, and warned that it could oppose the deal even if it were to be approved by the CRTC.[13]
On October 18, 2012, the CRTC announced that it had rejected BCE's proposal to acquire Astral Media. The commission cited that their combined market power could "threaten the availability of diverse programming for Canadians and endanger the ability of distribution undertakings to deliver programming at affordable rates and on reasonable terms on multiple platforms", and also stated that allowing the merger would have required the implementation of "extensive and intrusive safeguards" across the entire broadcasting industry. The CRTC also felt that Bell did not adequately demonstrate how having most of Canada's French-language media owned by two vertically integrated companies would improve competition, and how being bigger would allow it to compete against foreign services.[14]
Second attempt
[edit]Following the rejection of the deal by the CRTC, Bell Canada CEOGeorge A. Copeasserted that calling the merger dead was "premature", citing that the formal merger agreement between Bell and Astral did not expire until December 16, 2012, and either company could extend it to January 15, 2013. Bell attempted to ask theCabinetto overturn the CRTC's decision, but was told that they did not have the ability to do so. Bell also reportedly considered going to theFederal Court of Appeal,or restructuring the deal to selectively sell Astral assets to competing companies.Rogers Mediaexpressed interest in acquiring some of Astral's channels if such a sale were to occur.[15][16]On November 16, 2012, Astral confirmed that it was in talks with Bell to negotiate a new offer, which would involve the sale of the majority of its English-language television channels to third parties.[17]
On March 4, 2013, theCompetition Bureauapproved a new proposal by Bell to acquire Astral Media, which would involve the divestiture of certain television channels and radio stations owned by the combined company, and was subject to restrictions preventing Bell from imposing restrictive bundling requirements on any provider seeking to carry The Movie Network orSuper Écran.[18]The CRTC made the proposed takeover proposal public on March 6, 2013.[19]Unlike the previous deal, which would have given Bell a 42% share of the English-language television market, the new deal gave Bell a total market share of 35.7%, and increased its French-language market share to 22% (in comparison to 8% before).[20][21]On March 18, 2013, the Competition Bureau cleared a proposed deal to sell Astral's stakes in several channels toCorus Entertainmentin preparation for regulatory approval.[21]
In a speech to theAcademy of Canadian Cinema and Televisionprior to the hearings, Bell Media's president Kevin Crull detailed plans to invest in French-language productions and maintain a distinct operation in Montreal devoted to its French-language outlets. Crull also praised the role ofQuébecor Média(despite the company being opposed to the merger) in using its ownvertical integrationstrategy to help promote Francophone talent, and revealed his intention to try and emulate its "star system" in English Canada.[22]
Hearings and approval
[edit]CRTC hearings on the new proposals began in May 2013. Asserting that it would have to sell or shut down the station without one, Bell organized a petition proposing an exception to the ownership cap that would allow it to maintain ownership ofCKGM,under the condition that Bell maintain the TSN Radio format on the station and provide $245,000 in funding for localamateur sportsandscholarshipsin sports journalism over a seven-year period. Commissioner Suzanne Lamarre commented that Bell could have sold another station instead, given most of the comments on Bell's petition only supported CKGM maintaining asports radioformat, and not Bell's purchase of Astral. In response, Bell's CEOGeorge A. Copecommented that the company did not want to sell off profitable radio stations, and Astral CEO Jacques Parisien remarked that breaking up its Montreal cluster would affect their operation.[23]
Rogers called on the CRTC to require that Bell divest The Movie Network, claiming that Bell would make it harder and more expensive for competing service providers to access The Movie Network's content (especially on its own Anyplace TV and on-demand services) if Bell were to own the service. Bell disputed Rogers' claims, stating that the company already had a long-term deal to distribute The Movie Network on its cablesystems, and noted that Rogers had expressed interest in purchasing the service if it were to be divested.[24]Bell indicated that it would not go ahead with the deal if it were forced by the CRTC to sell additional media outlets.[25]Rogers also showed interest in making a "reasonable offer" to purchase CKGM as a complement to its recently acquired TV stationCJNT-DT.Under Rogers ownership, CKGM would have kept its sports talk format, but as aSportsnet Radiostation instead of TSN Radio.[26]
On June 27, 2013, the CRTC approved Bell's acquisition of Astral Media, which closed on July 5, 2013. The deal was subject to conditions, including the requirement for Bell to provide fair treatment to its competitors, to not impose "restrictive bundling practices" on Astral's premium movie channels, invest $246.9 million over the next seven years on Canadian-produced programming, and to maintain the operation and local programming levels of all of its television stations through 2017. The CRTC also approved Bell's proposed exemptions for maintaining ownership of CKGM.[27][28]
Divestments
[edit]Following the approval of the new proposal by the Competition Bureau,Corus Entertainmentreached a tentative deal to acquire 2 radio stations (CJOT,CKQB), along with Astral's stakes inHistoria,Séries+,and theTeletoonnetworks from Bell for just over $400 million. Corus acquired the stakes in Historia and Séries+ fromShaw Mediaas well. On January 1, 2014, the acquisition was completed. In 2017, Corus attempted to sell Historia and Séries+ to Bell for $200 million, but the deal was blocked and rejected by the Competition Bureau for violations of conditions forbidding Bell from re-acquiring divested Astral properties for ten years.[29]
Bell Media also divestedFamily,Disney Junior'sEnglishandFrenchservices,Disney XD,MusiMax,MusiquePlus,and 5 other radio stations inTorontoandVancouver(CHBM-FM,CFXJ-FM,CKZZ-FM,CHHR-FMandCISL) at auction.[18]These divested stations and channels were temporarily held in ablind trustbyPierre Boivinuntil the completion of their acquisitions.[30]
On May 16, 2013, theJim Pattison Groupannounced a deal to acquire three stations in Calgary and Winnipeg from Bell and Astral—CKCE-FM,CHIQ-FM,andCFQX,for an undisclosed amount. The deal expanded the Jim Pattison Group's operations in Calgary (where it was planning to launch a new station,CHPK-FM), and gave the company its first stations in Manitoba.[31]On August 26, 2013,Newcap Radioannounced its intent to acquire the five aforementioned Toronto and Vancouver stations.[32]Eventually, Newcap was in turn acquired byStingray Digital Groupin 2018.
On November 28, 2013,DHX Mediaannounced that it had reached a deal to acquire Family Channel and its sister networks for $170 million, the deal was completed in late July 2014.[33][34]On December 4, 2013,Remstar,owners of the French television systemV,announced that it would acquire MusiquePlus and MusiMax for an undisclosed amount.[35]
Corporate governance
[edit]Members of theboard of directorsof Astral prior to the close of the Bell-Astral transaction were: Austin Beutel, Paul Bronfman,André Bureau(chairman), Jack Cockwell,George Cohon,Paul Godfrey,Stephen Greenberg,Ian Greenberg,Sidney Greenberg, Sidney Horn, Timothy Price, Phyllis Yaffe andMonique Jérôme-Forget.
Former assets
[edit]Any listing with a cross (†) character at the end indicates an asset which was not acquired by Bell Canada.
Radio
[edit]Alberta
[edit]British Columbia
[edit]- Dawson Creek-CJDC
- Fort Nelson-CKRX
- Fort St. John-CHRX,CKNL
- Golden-CKGR
- Invermere-CKIR
- Kelowna-CHSU,CILK,CKFR
- Kitimat-CKTK
- Nelson-CKKC
- Osoyoos-CJOR
- Penticton-CJMG,CKOR
- Prince Rupert-CHTK
- Princeton-CIOR
- Revelstoke-CKCR
- Salmon Arm-CKXR
- Summerland-CHOR
- Terrace-CFTK,CJFW
- Trail-CJAT
- Vancouver-CKZZ†,CHHR†,CISL†
- Vernon-CICF
Manitoba
[edit]New Brunswick
[edit]Nova Scotia
[edit]Ontario
[edit]- Hamilton-CHAM,CKLH,CKOC
- London-CIQM,CJBK,CJBX,CKSL
- Ottawa-CJOT†,CKQB†
- Pembroke-CHVR
- St. Catharines-CHRE,CHTZ,CKTB
- Toronto-CFRB,CHBM†,CKFM
Quebec
[edit]NRJ network
[edit]- CHIK-FM98.9,Quebec City
- CIGB-FM102.3,Trois-Rivières/Mauricie
- CIKI-FM98.7,Rimouski
- CIMO-FM106.1,Magog/Estrie
- CJAB-FM94.5,Saguenay
- CJDM-FM92.1,Drummondville
- CJMM-FM99.1,Rouyn-Noranda
- CJMV-FM102.7,Val-d'Or
- CKMF-FM94.3,Montreal
- CKTF-FM104.1,Gatineau/Outaouais
Rouge FM network
[edit]- CFIX-FM96.9,Saguenay
- CFVM-FM99.9,Amqui
- CHEY-FM94.7,Trois-Rivières/Mauricie
- CHRD-FM105.3,Drummondville
- CIMF-FM94.9,Gatineau/Outaouais
- CITE-FM107.3,Montreal
- CITE-FM-1102.7,Sherbrooke/Estrie
- CITF-FM107.5,Quebec City
- CJOI-FM102.9,Rimouski
Boom FM network
[edit]Saskatchewan
[edit]Television
[edit]Over-the-air television stations
[edit]- Dawson Creek-CJDC(now owned by Bell Media, reverted fromCBC Televisionaffiliation toCTV 2affiliation in 2016)
- Terrace-CFTK(now owned by Bell Media, reverted fromCBC Televisionaffiliation toCTV 2affiliation in 2016)
Specialty & pay television (English)
[edit]- Family- 2 multiplex channels (now owned byWildBrain)
- Disney Junior(English) (renamed Family Jr. by owner DHX Media after DHX lost the rights to Disney Channel programming to Corus)
- Disney XD(renamed Family Chrgd by owner DHX Media after DHX lost the rights to Disney Channel programming to Corus, but eventually rebranded to WildBrainTV on March 1, 2022, with no change in programming)
- The Movie Network- 4 multiplex channels, includingHBO Canada(now owned byBell Mediaand renamed Crave as of November 1, 2018[36])
- MExcess - renamed TMN 2 in 2016 and later Crave 2 in 2018
- MFun! - renamed TMN 3 in 2016 and later Crave 3 in 2018
- MFest - ceased operations March 1, 2016
- The Movie Network Encore- 2 multiplex channels (renamedStarzby new owner Bell Media in 2019)
- Teletoon(now fully owned by Corus Entertainment as of January 1, 2014, rebranded to Cartoon Network on March 27, 2023)
- Teletoon Retro(shut down on September 1, 2015, license and carriage subsumed byCartoon Network)
- Cartoon Network(ceased operating as a separately-licensed service on September 1, 2015, moving under Teletoon Retro's license thereafter, relaunched as Boomerang on March 27, 2023)
Specialty & pay television (French)
[edit]- Canal D(now owned by Bell Media)
- Upcoming spin-off channel focusing on justice and forensic programming in the form of documentaries, magazine series, dramas and reality television series (launched by Bell Media asCanal D/Investigationon December 12, 2013, following the Astral Media acquisition before renaming itself to justInvestigation)
- Canal Vie(now owned by Bell Media)
- Cinépop(now owned by Bell Media)
- Disney Junior(French) (renamedTélémaginoby owner DHX Media after DHX lost the rights to Disney Channel programming to Corus)
- Historia(now fully owned by Corus Entertainment as of January 1, 2014)
- MusiMax(now owned byV Media Group,later became a general entertainment channel now known asMax)
- MusiquePlus(now owned by V Media Group, and renamedElle Fictionsas of 2019)
- Séries+(now fully owned by Corus Entertainment as of January 1, 2014)
- Super Écran- 4 multiplex channels (now owned by Bell Media)
- Télétoon(now fully owned by Corus Entertainment as of January 1, 2014)
- Télétoon Rétro(shut down on September 1, 2015, and replaced byDisney La Chaînein its channel allotments under Corus ownership)
- Vrak.TV(now owned by Bell Media and known asVrak,ceased operations on October 1, 2023)
- Ztélé(now owned by Bell Media and known asZ)
Pay-per-view television
[edit]- Viewers Choice(50.1%, shut down on September 30, 2014, due to redundancy with Bell and Rogers PPV services,Vu!andSportsnet PPV)
See also
[edit]References
[edit]- ^abc"Archived copy"(PDF).Archived fromthe original(PDF)on 2012-03-28.Retrieved2011-07-27.
{{cite web}}
:CS1 maint: archived copy as title (link) - ^abcWedge, Pip."Astral Media Inc".Radio/Television Station Group History.Canadian Communications Foundation. Archived fromthe originalon 2014-02-28.Retrieved24 February2014.
- ^"Astral Bellevue". Globe and Mail. 15 January 1981.ProQuest386796617.
- ^Brownstein, Bill (1987-07-08). "Greenberg's Astral Set To Build Production Center".Variety.pp. 6–7.
- ^"Astral, Management Co. Teaming On 3 Features; 'Boris & Natasha' First".Variety.1987-12-02. p. 6.
- ^Kelly, Brendan (1996-12-19)."Astral reports $10.7 mil loss, ups Bureau to chair".Variety.Retrieved2023-07-26.
- ^Astral Media announces signature of letter of intent to acquire Standard Radio
- ^Lloyd, Jeromy."Astral Media rebrand for consistency".Marketing Magazine.Retrieved2020-04-04.
- ^Astral Shareholders Approve Acquisition by BCEArchived2014-08-08 at theWayback Machine,Broadcaster Magazine,May 24, 2012.
- ^BCE shuts down Astral Media for $3.38 billionArchived2014-08-08 at theWayback Machine,Broadcaster Magazine,May 25, 2012.
- ^Johnson, Julia."Cable company opposition to Bell's Astral purchase heats up".Financial Post.Retrieved19 September2012.
- ^"CBC challenges BCE-Astral deal".Toronto: The Globe and Mail. 14 September 2012.Retrieved2 October2012.
- ^"Competition Bureau flags Bell-Astral deal".Toronto: The Globe and Mail. 17 September 2012.Retrieved19 September2012.
- ^"Broadcasting Decision CRTC 2012-574".CRTC.Retrieved18 October2012.
- ^"With Astral deal on ropes, BCE keeps its options open".Toronto: The Globe and Mail. 1 November 2012.Retrieved3 November2012.
- ^"As Astral posts gains, Greenberg looks to rescue BCE deal".Toronto: The Globe and Mail. 31 October 2012.Retrieved3 November2012.
- ^"Astral confirms talks with BCE to resurrect takeover deal".Toronto: The Globe and Mail. 16 November 2012.Retrieved17 November2012.
- ^ab"Bell moves closer to Astral with sale of TV assets".Toronto: The Globe and Mail. 4 March 2013.Retrieved5 March2013.
- ^Astral and Bell Comment on New Acquisition Application to CRTCArchived2015-10-02 at theWayback Machine,Broadcaster Magazine,March 6, 2013.
- ^"Competition Bureau OK's BCE-Astral deal, with conditions".CBC News.Retrieved5 March2013.
- ^ab"Competition Bureau clears Corus acquisition of Astral assets".The Globe and Mail.Toronto: Canadian Press. 18 March 2013.Retrieved20 March2013.
- ^"Bell wants to duplicate Quebec's star system in English Canada".Montreal Gazette. Archived fromthe originalon 22 June 2013.Retrieved8 May2013.
- ^"Bell resistant to CRTC's TSN 690 proposal".Montreal Gazette. Archived fromthe originalon 8 May 2013.Retrieved8 May2013.
- ^"Rogers seeks order that Bell sell Movie Network if Astral takeover is allowed".Canadian Press.Retrieved8 May2013.
- ^"Bell won't sell more of Astral's assets to win OK for merger".Canadian Press.Retrieved22 May2013.
- ^"Rogers tells CRTC it is willing to buy TSN 690".The Gazette.Archived fromthe originalon 4 July 2013.Retrieved11 June2013.
- ^"CRTC approves Bell/Astral deal with conditions".Toronto Star.27 June 2013.Retrieved5 July2013.
- ^"CRTC approves Bell-Astral merger".CBC News.Retrieved5 July2013.
- ^"Analysts predict steeper Corus dividend cut after watchdog blocks $200-million sale of TV stations to Bell".Financial Post.2018-05-28.Retrieved2018-05-28.
- ^Biblic, Mirko."Re: Voting Trust Agreement between BCE Inc. and Pierre Boivin, the trustee Application No. 2013-0243-9 – Approved".CRTC.Retrieved5 July2013.
- ^"Pattison group looks to buy castoffs from Bell Astral deal".The Vancouver Sun.Retrieved22 May2013.[permanent dead link]
- ^"Newcap signs agreement with Bell Media to acquire five radio stations in Toronto and Vancouver".CNW.Retrieved26 August2013.
- ^"DHX Media to buy Family, other children's channels".Toronto Star.28 November 2013.Retrieved29 November2013.
- ^"DHX to acquire Family Channel, three others from Bell Media".The Globe and Mail.Toronto. 28 November 2013.Retrieved29 November2013.
- ^"Bell Media signs deal to sell MusiquePlus and MusiMax to V Media Group".Canadian Press.Archived fromthe originalon 2013-12-11.Retrieved4 December2013.
- ^"All-New Crave Features HBO Collection".TVCanada.2018-11-01.Retrieved2018-11-01.
External links
[edit]- Official website(website defunct for Astral Media, now owned byBell Media)
- History of Astral Media Inc.-Canadian Communications Foundation
- Astral Media
- Mass media companies disestablished in 2013
- 2013 disestablishments in Quebec
- Companies based in Montreal
- Companies formerly listed on the Toronto Stock Exchange
- Defunct broadcasting companies of Canada
- BCE Inc. acquisitions
- 1961 establishments in Quebec
- Mass media companies established in 1961
- Bell Media
- 2013 mergers and acquisitions
- Canadian companies established in 1956