A Good Opportunity Sign on Canadian Telecom (BCE)

According to my technical analysis, BCE's share signs a good buying opportunity. It's indicated buy a double bottom at the lowest level since August 2007. BCE's share also indicates an upward channel that a bullish trend.

BCE Inc, Canada's largest telecommunications company, said Friday it has agreed on terms of a $35 billion sale to a group led by the Ontario Teachers' Pension Plan in the biggest leveraged buyout ever. The deal is expected to be completed by mid-December. BCE has finally reached an agreement with a consortium of buyers that will take BCE private at the agreed on price of $42.75 a share.

Canada's Supreme Court last month allowed the sale to proceed after overturning a lower court ruling that the sale to the Ontario Teachers' Pension Plan and its minority U.S. partners didn't adequately consider bondholders' interests. The deal was in jeopardy when the lower Quebec court ruled against the transaction.

The Toronto-based Ontario Teachers' Pension Plan -- with assets of 108 billion Canadian dollars ($106 billion) in 2007 -- invests and administers the retirement funds for Ontario's 353,000 active, inactive, and retired teachers. U.S.-based Providence Equity Partners and Madison Dearborn Partners LLC are also involved in the proposed buyout.

BCE, which has more than 54,000 employees, had annual revenue of 17.8 billion Canadian dollars ($17.5 billion) in 2007. It had 5.8 million wireless subscribers, 8.64 million phone lines, 1.94 million Internet subscribers and 1.82 million satellite television subscribers in 2006.

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