TELUS announces pricing of US$ junior subordinated notes offering

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].