Core Viewpoint - TELUS has announced the pricing of a US$1.5 billion offering of Fixed-to-Fixed Rate Junior Subordinated Notes, which will be used to fund tender offers and repay debt [1][4]. Group 1: Offering Details - The offering consists of two series of notes: Series A for US$700 million with an initial interest rate of 6.625%, and Series B for US$800 million with an initial interest rate of 7.000% [2]. - Series A notes will reset every five years starting October 15, 2030, while Series B notes will reset every five years starting October 15, 2035 [2]. - The interest rates for both series will not reset below their initial rates during any five-year period [2]. Group 2: Underwriters and Closing - The offering is being managed by a syndicate of underwriters led by J.P. Morgan Securities LLC, RBC Capital Markets, LLC, and Wells Fargo Securities, LLC [3]. - The closing of the offering is expected around June 27, 2025, pending customary closing conditions [3]. Group 3: Use of Proceeds - The net proceeds from the offering will primarily fund TELUS' previously announced tender offers [4]. - If any tender offer is not completed, the remaining proceeds will be used for debt repayment and other general corporate purposes [4]. Group 4: Credit Rating - Credit rating agencies have assigned 50% equity credit to the notes [5]. Group 5: Company Overview - TELUS operates in over 45 countries, generating more than C$20 billion in annual revenue and serving over 20 million customer connections [11]. - The company focuses on leveraging technology for positive human outcomes and has a strong commitment to community contributions, having donated C$1.8 billion since 2000 [11].

Core Insights - TELUS partners with TransUnion to implement Branded Call Display (BCD), enhancing customer engagement and protecting against call spoofing and fraud [1][2] - A TransUnion survey indicates that 70% of Canadian consumers are likely to answer calls from businesses displaying verified names and logos, while 61% have missed legitimate calls due to fraud concerns [6] Company Collaboration - The partnership aims to provide TELUS customers with rich call content, including business name, logo, and reason for the call, improving the customer experience [1][2] - This collaboration builds on previous successful initiatives, including the first international calls authenticated by STIR/SHAKEN protocols [2] Market Need - The solution addresses a critical need in the Canadian market, where consumers are increasingly concerned about fraud and unwanted calls [2] - Canadians prefer phone calls for critical communications, with 62% for personal matters, 55% for urgent circumstances, and 52% for high-value decisions [6]

Core Points - TELUS Corporation announced the commencement of cash offers to purchase up to C$600,000,000 of its outstanding senior notes across eight series [1][2] - The offers are subject to certain conditions, including a Financing Condition, which must be satisfied or waived for the offers to proceed [1][13] - The total consideration for each series of notes will be based on a fixed spread plus the yield of applicable Canadian reference securities [6][9] Offer Details - The offers will expire at 5:00 p.m. (Eastern time) on June 27, 2025, unless extended or terminated earlier by the company [7] - Settlement for accepted notes is expected to occur three business days after the expiration date, anticipated to be July 3, 2025 [8] - Holders of notes accepted for purchase will receive the total consideration plus accrued and unpaid interest [10] Notes Information - The company has listed eight series of senior notes with varying principal amounts, interest rates, and maturity dates [4] - The maximum purchase amount may be increased, decreased, or waived at the company's discretion [1][12] - The offers may be subject to proration based on the total amount of notes tendered [3] Conditions and Management - The offers are contingent upon the company raising sufficient net proceeds through debt issuances to cover the purchase of the notes and associated costs [13] - RBC Dominion Securities Inc., BMO Nesbitt Burns Inc., CIBC World Markets Inc., Scotia Capital Inc., and TD Securities Inc. are acting as lead dealer managers for the offers [14]

Core Viewpoint - TELUS Corporation has initiated cash offers to purchase up to US$750,000,000 of its outstanding notes, with specific conditions and acceptance priority levels outlined for the series of notes being offered [1][10]. Group 1: Offer Details - The offers are subject to the terms and conditions set forth in the Offer to Purchase dated June 20, 2025, and include a notice of guaranteed delivery [2]. - The total consideration for each series of notes will be based on a fixed spread plus the yield of the applicable U.S. Treasury reference security, determined on the Price Determination Date [4][8]. - The offers will expire at 5:00 p.m. (Eastern time) on June 27, 2025, unless extended or terminated earlier [5]. Group 2: Notes Information - The company is offering to purchase two series of notes: 4.600% Notes due November 16, 2048, with an outstanding amount of US$750 million, and 4.300% Notes due June 15, 2049, with an outstanding amount of US$500 million [3]. - The acceptance priority levels for the notes are set, with the 4.600% Notes having the highest priority [3][10]. Group 3: Conditions and Procedures - The offers are conditioned on the satisfaction of the Maximum Purchase Condition and the Financing Condition, which requires the company to raise sufficient net proceeds to fund the purchases [10]. - Holders of notes can withdraw their tenders at any time before the expiration date, and those who deliver a Notice of Guaranteed Delivery will have an extended deadline for tendering [6][9]. - Settlement for validly tendered notes is expected to occur four business days after the expiration date, or two business days after the Guaranteed Delivery Date [7]. Group 4: Company Overview - TELUS Corporation operates as a leading communications technology company, generating over C$20 billion in annual revenue and serving more than 20 million customer connections globally [23]. - The company is committed to leveraging technology for positive human outcomes and has a strong focus on client service excellence and social responsibility [23][24].

Core Viewpoint - TELUS has announced the pricing of an $800 million reopening of its fixed-to-fixed rate junior subordinated notes, Series CAR and Series CAS, with a maturity date of July 21, 2055 [1][4] Group 1: Notes Details - The re-opened 6.25% fixed-to-fixed rate junior subordinated notes, Series CAR, priced at $102.625 per $100 principal amount, will have a re-opening yield of 5.612% per annum until July 21, 2030, and will reset every five years starting July 21, 2030 [2] - The re-opened 6.75% fixed-to-fixed rate junior subordinated notes, Series CAS, priced at $104.500 per $100 principal amount, will have a re-opening yield of 6.127% per annum until July 21, 2035, and will reset every five years starting July 21, 2035 [3] Group 2: Use of Proceeds - The net proceeds from the offering will be used to reduce outstanding indebtedness, including commercial paper, and for other general corporate purposes [4] Group 3: Company Overview - TELUS is a leading communications technology company generating over $20 billion in annual revenue with more than 20 million customer connections [9]

Core Viewpoint - TELUS Corporation has submitted a non-binding indication of interest to acquire TELUS Digital, aiming to enhance operational integration and drive AI and SaaS transformation across various sectors [1][2]. Group 1: Acquisition Proposal - TELUS proposes to acquire all outstanding shares of TELUS Digital at a price of US$3.40 per share, representing a 15% premium over the closing share price on June 11, 2025, and a 23% premium over the 30-day volume weighted average trading price [1][2]. - The acquisition is expected to provide TELUS Digital shareholders with liquidity at a compelling value and strengthen TELUS's growth strategy and operational efficiency [1][2]. Group 2: Operational Integration - Closer operational integration between TELUS and TELUS Digital is anticipated to enhance AI capabilities and SaaS transformation across telecommunications, health, agriculture, and consumer goods sectors [1][2]. - TELUS Digital is expected to remain a key business unit within TELUS, contributing to customer service excellence and digital transformation [2]. Group 3: Financial and Legal Considerations - The proposal is subject to confirmatory due diligence, agreement on transaction structure, and approval from the TELUS Digital board of directors [3][4]. - TELUS currently owns approximately 92.5% of the multiple voting shares and 6.1% of the subordinate voting shares of TELUS Digital, representing 57.4% of all outstanding shares [6][7]. Group 4: Advisory and Future Plans - Barclays is acting as the exclusive financial advisor to TELUS, while Stikeman Elliott LLP and A&O Shearman are serving as legal advisors [5]. - TELUS has no current plans beyond the acquisition proposal but may consider future transactions depending on market conditions [8].

Core Insights - Investors are evaluating Telefonica (TEF) and Telus (TU) for potential value opportunities in the Diversified Communication Services sector [1] Valuation Metrics - Telefonica has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Telus has a Zacks Rank of 3 (Hold) [3] - TEF's forward P/E ratio is 13.39, significantly lower than TU's forward P/E of 21.68, suggesting TEF may be undervalued [5] - TEF has a PEG ratio of 0.78, while TU's PEG ratio is 5.15, indicating TEF's expected earnings growth is more favorable [5] - TEF's P/B ratio is 1.20 compared to TU's P/B of 2.12, further supporting TEF's valuation advantage [6] - Based on these metrics, TEF holds a Value grade of A, while TU has a Value grade of C, making TEF the more attractive option for value investors [6]

Company Overview - TELUS is a well-known telecommunications company in Canada, with a significant market presence that makes it a common choice for Canadian consumers [1]. Investment Philosophy - The investment philosophy highlighted focuses on acquiring high-quality stocks and businesses that are managed by disciplined capital allocators, generate exceptional returns on capital, and have the potential to compound invested capital over extended periods [1].

TELUS Corporation (TU) recently announced a hefty C$70 billion investment over the next five years to expand and enhance its network infrastructure and operations across Canada. Amid a challenging economic landscape and ongoing efforts to attract increased investment to drive growth, this commitment to Canada's future represents a strategic move toward fostering domestic innovation and advancing the economic well-being of both urban and rural communities. With more than C$276 billion invested since 2000, th ...

Core Insights - Telus reported $3.52 billion in revenue for Q1 2025, a year-over-year decline of 3.7% and a surprise of -0.94% compared to the Zacks Consensus Estimate of $3.56 billion [1] - The EPS for the quarter was $0.18, compared to $0.19 a year ago, with a surprise of +20.00% over the consensus estimate of $0.15 [1] Financial Performance - Telus shares returned +5.2% over the past month, while the Zacks S&P 500 composite increased by +9% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market [3] Subscriber Metrics - Mobile Phone Subscribers: 10.14 million, slightly below the average estimate of 10.17 million [4] - Connected Device Subscribers: 3.88 million, exceeding the average estimate of 3.82 million [4] - Internet Subscribers: 2.72 million, below the average estimate of 2.78 million [4] - TV Subscribers: 1.42 million, slightly above the average estimate of 1.4 million [4] - Security Subscribers: 1.14 million, matching the average estimate [4] - Residential Voice Subscribers: 1.02 million, in line with the average estimate [4] Churn and Net Additions - Mobile Phone Churn Rate: 1.1%, consistent with the average estimate [4] - Net Additions for Connected Device: 148 thousand, significantly above the average estimate of 90.6 thousand [4] - Net Additions for Internet: 21 thousand, slightly below the average estimate of 23.54 thousand [4] - Net Additions for TV: 27 thousand, exceeding the average estimate of 15.49 thousand [4] - Net Additions for Security: 15 thousand, below the average estimate of 17.42 thousand [4] - Net Additions for Residential Voice: -13 thousand, worse than the average estimate of -8.12 thousand [4]