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The two largest phone companies in Canada are in talks for a possible merger that could fend off U.S.-backed private equity buyers as the wave of consolidation that reshaped the U.S. telecommunications landscape appears poised to hit north of the border. BCE, the largest phone provider in Canada, confirmed Thursday that it was in talks with the country’s No. 2 firm Telus about a transaction in which Telus would buy BCE. BCE did not disclose terms of the proposed deal.

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