The proposed changing of the guard at Bell Globemedia could lead to a new, $130-mllion fund for TV programming, if the CRTC approves the transaction and if it considers the multimedia company to be under new management.

BGM’s parent, telephone giant BCE, is looking to drop its stake from 68.5% to 20% – selling the difference to the Woodbridge Company, which currently owns 31.5%, and to newcomers Torstar Corp. and the Ontario Teachers’ Pension Plan.

If approved by the feds, the deal, announced on Dec. 2, would leave Woodbridge, a holding company for billionaire Ken Thomson and family, with 40% of BGM. Torstar, which owns the Toronto Star and several other newspapers, and the OTPP would own 20% each.

BGM controls the CTV network, The Globe and Mail, 15% of Maple Leaf Sports and Entertainment, and 50% of mobile content producer Dome Productions.

The deal is valued at $1.3 billion. Under CRTC regulations, the owners may be required to earmark 10% for ‘benefits’ funding – much like the $230-million fund created in 2000 when BCE bought CTV, or the $21.9 million set aside in 2004 when CHUM took over Craig Media.

The new fund would take shape just as the BCE benefits run out. The last of its $230 million is expected to be spent within the year.

The exact value of a new fund is sure to be haggled, however.

Observers have also noted that – because no company will be left with a majority share of BGM – its owners could argue that the ‘change of control’ required by CRTC regulations has not taken place.

BCE is keeping its 20% stake so it can provide its wireless, TV and Internet services with BGM content.

‘Our ongoing involvement with Bell Globemedia will drive our efforts to develop innovative, next-generation services for our customers,’ said BCE president and CEO Michael Sabia in a statement.

The deal puts to rest persistent rumors that BGM was up for sale. It also opens the door for Torstar, which has repeatedly tried to break into the TV market, with little success. Torstar made a failed bid to launch the station that became Toronto 1 (now Sun TV) when the licence for the local channel was up for grabs in 2002. The company also owns the infomercial channel ShopTV Canada.

The Communications, Energy and Paperworkers Unions of Canada was quick to denounce the sale, however, warning that it will put control of too much media in too few hands.

‘The proposed sale demands reaction from electioneering political leaders. Let’s see who really cares about a democratic and diverse media in this country,’ said union VP Peter Murdoch in a statement.

The BGM deal is expected to close by the third quarter of this year if approved by federal regulators.

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