TELUS Finalizes Full Privatization of TELUS Digital in $539 Million Deal
TELUS Corporation has completed its acquisition of all remaining shares of TELUS International (Cda) Inc. marking the full privatization of the digital solutions subsidiary. The transaction, first announced earlier in 2025, saw TELUS acquire all outstanding multiple and subordinate voting shares of TELUS Digital that it did not already own for US$4.50 per share in cash and/or TELUS common shares. The total consideration for the deal amounts to approximately US$539 million, making TELUS the sole owner of TELUS Digital.
Strategic Milestone for TELUS
“This acquisition marks an important milestone for TELUS and TELUS Digital,” said Darren Entwistle, President and CEO of TELUS. “Together, we will accelerate the integration of world-leading digital customer experience solutions, AI-driven platforms, and SaaS innovation across our telecommunications, health, and agriculture businesses.”
Entwistle emphasized that the merger will enhance operational efficiency and create new growth opportunities for the company’s global operations. The integration is expected to generate approximately $150 million in annualized cash synergies, primarily through AI-enabled automation, business simplification, and strategic cross-promotion of services. These synergies aim to strengthen TELUS’s financial performance and expand shareholder value by optimizing digital infrastructure across its ecosystem.
Shareholder Approval and Court Clearance
The acquisition received strong backing from TELUS Digital shareholders, who approved the transaction at a special meeting on October 27, 2025. This followed a unanimous recommendation from TELUS Digital’s Special Committee of independent directors and its Board of Directors (with interested members abstaining). The transaction subsequently received final court approval from the Supreme Court of British Columbia on October 29, 2025, paving the way for completion.
Josh Blair, Co-Chair of the Special Committee, noted that the deal represents the conclusion of a rigorous independent review designed to protect minority shareholder interests. “This transaction delivers immediate, compelling value to shareholders and positions the combined organization to thrive in an increasingly competitive global marketplace,” Blair said.
Consideration Election Results
Under the arrangement terms, TELUS Digital shareholders were offered three options for consideration:
- Cash Consideration – US$4.50 per share;
- Share Consideration – 0.273 TELUS common shares per TELUS Digital share;
- Combination Consideration – US$2.25 in cash and 0.136 TELUS common shares per TELUS Digital share.
Shareholders had until October 22, 2025, to make their elections. The results were as follows:
- 106,755,480 shares elected the cash option,
- 448,976 shares elected the share option, and
- 12,697,517 shares elected or were deemed to have elected the combination option.
Since the final consideration was not subject to proration, shareholders received their chosen mix of cash and/or shares as elected.
In total, TELUS issued 1,849,374 TELUS common shares—representing less than 1% of its outstanding stock—and paid approximately US$508.97 million in cash to complete the transaction. Fractional shares were not issued, with adjustments made in accordance with the arrangement plan and TELUS Digital’s management information circular.
Delisting and Deregistration of TELUS Digital Shares
Following the completion of the transaction, TELUS Digital’s subordinate voting shares will be delisted from both the Toronto Stock Exchange (TSX) and the New York Stock Exchange (NYSE). The company has also applied to cease to be a reporting issuer under Canadian securities laws and will deregister its shares under the U.S. Securities Exchange Act of 1934.
The delisting officially concludes TELUS Digital’s tenure as a publicly traded entity, marking its full integration under the TELUS brand.
TELUS’s Ownership Prior to the Transaction
Before closing, TELUS already owned 152,004,019 multiple voting shares and 6,874,822 subordinate voting shares, representing 100% of the multiple voting class and approximately 5.4% of the subordinate voting class. Combined, this accounted for 92.7% of TELUS Digital’s total voting rights.
With the acquisition now complete, TELUS gains full control over TELUS Digital’s operations and technologies. The move allows TELUS to leverage TELUS Digital’s expertise in customer experience management, AI innovation, and digital transformation to strengthen its global competitiveness.
Strengthening TELUS’s Digital Leadership
The privatization underscores TELUS’s strategy to unify its operations and scale its advanced digital solutions across sectors such as telecommunications, healthcare, and agriculture technology. By bringing TELUS Digital fully in-house, TELUS aims to streamline innovation pipelines and accelerate the rollout of intelligent automation tools, customer engagement platforms, and AI-driven analytics across its enterprise and consumer business lines.
Entwistle highlighted that this strategic step aligns with TELUS’s long-term vision of combining technological innovation with human-centric service delivery. “As we integrate TELUS Digital within the TELUS family, our focus remains on delivering superior experiences for our customers while enhancing shareholder value through innovation and efficiency,” he said.
With the transaction completed, TELUS stands positioned to advance its digital transformation roadmap and reinforce its leadership in the global telecommunications and technology services markets.
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