Telus buys $317.6M in 3,800-megahertz spectrum licences

Mr. Darren Entwistle reports TELUS SECURES NEW 3800 MHZ SPECTRUM LICENCES Telus Corp. has acquired new 3,800-megahertz spectrum licences in British Columbia and Alberta at a cost of $317.6-million. These licences -- purchased during ISED's residual auction -- will enable Telus to deliver enhanced 5G wireless broadband connectivity to its customers and will continue to optimize the network speeds Canadians have come to expect. "In alignment with our commitment to always be building Canada, the acquisition and deployment of this spectrum will further enhance the advancement of our 5G growth strategy and the globally leading network quality, speed and coverage we provide to Canadians," said Darren Entwistle, Telus president and chief executive officer. "Importantly, this spectrum will complement Telus's existing holdings to support emerging 5G applications that our team is progressing and that enable mission-critical applications with dedicated and secure resources, such as public safety advanced communications, industry automation and private wireless networks, as well as real-time, high-availability services for AI applications. Indeed, as the demand for wireless data continues to grow, the acquisition of additional 3,800 MHz spectrum will maximize our network capacity and enable Telus to deliver enhanced urban and rural connectivity to our customers. In addition to allowing us to invest in strategic growth within B.C. and Alberta, Telus's investment reflects our commitment to fiscal discipline as the acquisition of these valuable spectrum assets are consistent with our capital plan. Importantly, there will be no impact to our deleveraging plan, with 2025 net debt to adjusted EBITDA currently at 3.4 times, as we aim to reach circa 3.3 times or lower by year-end 2026 and 3.0 times or better by the end of 2027." The residual spectrum auction was designed to sell spectrum that remained unsold from previous auctions, with the majority of this leftover spectrum located in British Columbia and Alberta. Among all participants in the auction, Telus obtained the most spectrum at an attractive price. This positions Telus as an industry leader with an average of 104 megahertz of prime 5G mid-band spectrum in the 3,500- and 3,800-megahertz bands nationally, acquired for an average price of 82 cents per MHz-pop. This will further support Telus's efforts to always be building Canada. The 3,800-megahertz band is mid-range spectrum that has become the critical global band for 5G innovation as it offers the best combination of speed -- due to its wide channels -- and coverage. Its frequency can support large numbers of mobile data connections and still cover large areas, making it highly conducive to 5G deployment. About Telus Corp. Telus is a world-leading communications technology company operating in more than 45 countries and generating over $20-billion in annual revenue with more than 20 million customer connections through its advanced suite of broadband services for consumers, businesses and the public sector. It is committed to leveraging its technology to enable remarkable human outcomes. Telus is passionate about putting its customers and communities first, leading the way globally in client service excellence and social capitalism. Its Telus Health business is enhancing more than 150 million lives across 200 countries and territories through innovative preventive medicine and well-being technologies. Its Telus Agriculture & Consumer Goods business utilizes digital technologies and data insights to optimize the connection between producers and consumers. Guided by its enduring "Give where we live" philosophy, Telus, its 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 it the distinction of the world's most giving company. We seek Safe Harbor.