TORONTO-Ericsson Communications Canada has arranged financing for Microcell Connexions Inc., a wholly-owned subsidiary of Microcell Telecommunications Inc., to purchase personal communications services equipment.
The arrangement, valued at $200 million, will allow Microcell to purchase network switching systems, base station systems and related services during the next three years.
The company has secured a total of $814 million in financing to aide with plans to launch PCS before the end of this year and substantially deploy PCS by the end of 1998 in Canada, the company said.
Ericsson will supply Microcell with its Global System for Mobile communications technology.
“We see our partnership with Ericsson as a major business advantage,” said Andre Tremblay, president and chief executive officer of Microcell. “Their worldwide presence, experience with the GSM technology and international leadership in the telecommunications industry, are highly compatible with the distinctive services we intend to market.”
