Interesting. I am getting the impression that Goldman Sachs doesn't like the amount of control, or influence, they are going to be able to wield if this deal goes through as is.
Goldman Sachs Group Inc (GS.N) will ask a Canadian court on Wednesday (today) to hear its appeal of a lower court decision allowing Shaw Communications Inc (SJRb.TO) to buy the broadcast arm of bankrupt Canwest Global Communications Corp.
An Ontario Superior Court judge ruled on Feb. 19 that Shaw could acquire Canwest's television arm, putting a quick end to a last-minute bid for the assets, filed the night before by a consortium led by private equity fund Catalyst Capital and backed by Goldman.
The Catalyst consortium includes the Asper family
So was Goldman Sachs going to enable the Aspers to hang on to the television arm of their business? It seems that way.
But, a ruling on Feb.19th put that deal to a stop. So it looks as if Goldman Sachs is going to try again to wrangle control of the propaganda outlet Canwest.
From this article
Goldman, an iconic Wall Street firm that is a financial partner of Canwest, called the TV sale process corrupt, (oh, the irony of that statement coming from Goldman Sachs) and asked the Ontario Court of Appeal to reconsider other purchase proposals, including one backed by Goldman, that were "wrongly" rejected by the bankruptcy court.
The Wall Street investment bank will argue U.S. bondholders have "functionally held a hammer over Canwest's directors," and control the destiny of the Canadian broadcaster as it attempts to emerge from court-directed creditor protection.
(as opposed to Goldman Sachs controlling the destiny of the Canadian broadcaster)
The U.S. bondholders are backing Shaw Communications as it moves towards acquiring a controlling interest in Canwest Global for $95 million.A bone of contention is-
Goldman Sachs owns 13 Canadian cable channels that Canwest Global operates on its behalf, and contends Shaw is using the shareholder restructuring process to extract better terms on how the broadcast assets are run and are to be bought out in 2011.
I always thought Canwest Global sucked, and now I know why.
Were the Aspers just figure heads for the bank?