Public Mobile lands new Canadian investors

publicmobileimagePublic Mobile is one of the new wireless entrants to coming into Canada and is expected to laucnh within the next few months. They invested $53 million to obtain the commercial G Band license that reaches 19 million people in Ontario and Quebec (Windsor to Quebec City) and will offer unlimited talk and text packages for $40 month.

Formally named BMV Holdings, Public Mobile has been supported by Canadian investments such as a $50 million investment from OMERS Private Equity and now an unannounced amount from Peter Thomson, Fred Eaton, Patrick Brigham and a few Public Mobile employees.

Peter Thomson, President of Thomvest Seed Capital Inc. (who also now joins the Board of Directors) said “We chose to invest in Public Mobile because of its unmatched cost structure, sound business plan and proven Canadian management team”.

Alek Krstajic, Public Mobile’s Chief Executive Officer stated “A good, solid company will always attract Canadian investors. The support of successful Canadian entrepreneurs and investors highlights the importance of creating a more competitive wireless market in this country. It’s deeply touching to see the people who work for Public Mobile so firmly behind this company. I believe it represents the feelings of so many Canadians – that it’s time for a change in the wireless industry.”

This news comes a few days after Rogers has requested the CRTC to look into their foreign ownership. Rogers says Public Mobile ownership is “more confusing“. In response, Alek Krstajic, CEO of Public Mobile said “This is about fat cats looking to get fatter. Industry Canada created an auction to fan competition and now the incumbents are making a futile attempt to stem the competitive environment. This would only serve to keep prices high and reduce competition which hurts customers.”