Base shelf prospectus is accessible, and
prospectus supplement will be accessible within two business days,
through SEDAR+
Re-opening of 6.25% Fixed-to-Fixed Rate Junior
Subordinated Notes, Series CAR due July 21, 2055
Re-opening of 6.75% Fixed-to-Fixed Rate Junior
Subordinated Notes, Series CAS due July 21, 2055
VANCOUVER, BC, June 16,
2025 /PRNewswire/ - TELUS announced today it has
priced a $800 million re-opening
of its fixed-to-fixed rate junior subordinated notes, Series CAR
and Series CAS, each with a long 30-year maturity. The notes are
offered through a syndicate of agents led by CIBC World Markets
Inc., Scotia Capital Inc. and TD Securities Inc. Closing of the
offering is expected to occur on or about June 19, 2025.
The re-opened 6.25% fixed-to-fixed rate junior subordinated
notes, Series CAR, priced at $102.625 per $100 principal amount for a re-opening yield of
5.612% per annum until July 21, 2030,
will mature on July 21, 2055. The
6.25% fixed-to-fixed rate junior subordinated notes, Series CAR
will initially bear interest at a rate of 6.25% per annum and reset
every five years starting July 21,
2030 to the prevailing five-year Government of Canada rate plus 3.482%, provided that the
interest rate during any five-year interest period will not reset
below 6.25%.
The re-opened 6.75% fixed-to-fixed rate junior subordinated
notes, Series CAS, priced at $104.500 per $100 principal amount for a re-opening yield of
6.127% per annum until July 21, 2035,
will mature on July 21, 2055. The
6.75% fixed-to-fixed rate junior subordinated notes, Series CAS
will initially bear interest at a rate of 6.75% per annum and reset
every five years starting July 21,
2035 to the prevailing five-year Government of Canada rate plus 3.609%, provided that the
interest rate during any five-year interest period will not reset
below 6.75%.
The net proceeds will be used to reduce outstanding
indebtedness, including to reduce the amount of commercial paper
outstanding (incurred for general working capital purposes), and
for other general corporate purposes. Pending any such use of the
net proceeds, the Company will invest the net proceeds in
short-term investment grade securities, money market funds or bank
deposits.
TELUS has been advised that credit rating agencies that have
rated these notes have assigned 50% equity credit to the notes.
This media release does not constitute an offer to sell or the
solicitation of an offer to buy the securities in any jurisdiction.
The securities being offered have not been approved or disapproved
by any Canadian securities regulatory authority, nor has any
authority passed upon the accuracy or adequacy of the short form
base shelf prospectus or the prospectus supplement. The notes have
not been registered under the U.S. Securities Act of 1933, as
amended, and no notes are being offered in the United States or to or for the account or
benefit of any U.S. person.
The notes are being offered pursuant to a prospectus supplement
to the short form base shelf prospectus of TELUS dated August 2, 2024. The prospectus supplement and the
corresponding short form base shelf prospectus contain important
detailed information about the notes. Access to the prospectus
supplement and the base shelf prospectus, and any amendments to the
thereto, are provided in accordance with securities legislation
relating to the procedures for providing access to such documents.
An electronic or paper copy of the prospectus supplement and
corresponding short form base shelf prospectus relating to the
offering of notes may be obtained, without charge, from the Chief
Legal and Governance Officer of TELUS at 510 W. Georgia St.,
23rd Floor, Vancouver, British
Columbia V6B 0M3 (telephone 604-695-6420) or from CIBC World
Markets Inc. by phone at 416-594-8515 or email at
Mailbox.CIBCDebtSyndication@cibc.com, Scotia Capital Inc. by phone
at 416-863-7438 or email at syndicate.toronto@scotiabank.com or TD
Securities Inc. by phone at 416-982-2243 or email at
TDCAN-Syndicate@tdsecurities.com by providing an email address or
mailing address, as applicable. Copies of these documents will be
accessible electronically within two business days of the date
hereof on the System for Electronic Data Analysis and Retrieval+
(SEDAR+) of the Canadian Securities Administrators, at
www.sedarplus.ca. Investors should read the short form base
shelf prospectus and prospectus supplement before making an
investment decision.
Forward-Looking Statements
This news release contains statements about future events
pertaining to the offering, including the anticipated closing date
of the offering and the intended use of the net proceeds of the
offering. By their nature, forward-looking statements require us to
make assumptions and predictions and are subject to inherent risks
and uncertainties including risks associated with capital and debt
markets. There is significant risk that the forward-looking
statements will not prove to be accurate. The timing and closing of
the above-mentioned offering are subject to customary closing
conditions and other risks and uncertainties. Readers are cautioned
not to place undue reliance on forward-looking statements as a
number of factors could cause actual future performance and events
to differ materially from those described in the forward-looking
statements. Accordingly, this news release is subject to the
disclaimer and the qualifications and risk factors as set out in
our 2024 annual management's discussion and analysis (MD&A),
our MD&A for the three-month period ended March 31, 2025 and in other TELUS public
disclosure documents and filings with securities commissions in
Canada (on SEDAR+ at sedarplus.ca)
and in the United States (on the
Electronic Data Gathering, Analysis, and Retrieval system,
administered by the US Securities and Exchange Commission at
sec.gov). The forward-looking statements contained in this news
release describe our expectations at the date of this news release
and, accordingly, are subject to change after such date. Except as
required by law, TELUS disclaims any intention or obligation to
update or revise forward-looking statements.
About TELUS
TELUS (TSX: T, NYSE: TU) is a world-leading communications
technology company generating over $20
billion in annual revenue with more than 20 million customer
connections through our advanced suite of broadband services for
consumers, businesses and the public sector. We are committed to
leveraging our technology to enable remarkable human outcomes.
TELUS is passionate about putting our customers and communities
first, leading the way globally in client service excellence and
social capitalism. Our TELUS Health business is enhancing more than
150 million lives worldwide and territories worldwide through
innovative preventive medicine and well-being technologies. Our
TELUS Agriculture & Consumer Goods business utilizes digital
technologies and data insights to optimize the connection between
producers and consumers. Guided by our enduring 'give where we
live' philosophy, TELUS, our team members and retirees have
contributed $1.8 billion in cash,
in-kind contributions, time and programs including 2.4 million days
of service since 2000, earning us the distinction of the world's
most giving company. For more information, visit telus.com or
follow @TELUSNews on X and @Darren_Entwistle on
Instagram.
Investor Relations
Ian McMillan
ir@telus.com
Media Relations
Steve
Beisswanger
Steve.Beisswanger@telus.com
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SOURCE TELUS Corporation