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Rogers boardroom drama unlikely to affect deal to buy Shaw - analysts

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Oct 22 (Reuters) - The boardroom tussle at Rogers Communications Inc, in which the ousted Chairman is trying to regain control, was unlikely to hinder the telecoms company's $16.2 billion buy of Shaw Communications, analysts said.

The board on Thursday voted out Chairman Edward Rogers, but hours later he returned with plans to remove the directors who acted against him.

Rogers' exit capped a tumultuous period, during which he tried to replace Chief Executive Joe Natale, a move in late September that put him at odds with his sisters and mother, who backed the CEO in the board.

J.P.Morgan analysts said they hoped the boardroom battle would not overshadow the timeline or approval process of the deal to buy smaller rival Shaw.

"We maintain our base case that Rogers will be able to close its transformative acquisition of Shaw in 1H22 following the divestiture of some or all of Shaw's wireless business," J.P.Morgan wrote in a note to investors.

While the company's bid for Shaw would further boost its position in Canada's highly concentrated telecoms market, it has attracted scrutiny from multiple government regulators over whether it will decrease competition.

Scotiabank analysts said they expect the deal to get regulatory approvals within the planned timeline of first half of next year. (Reporting by Uday Sampath in Bengaluru; Editing by Sweta Singh and Arun Koyyur)

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