Telus closes Terrion deal with La Caisse

Executive Summary

• Telus Corp. has closed its previously announced transaction with La Caisse, which acquired a 49.9% equity interest in Terrion LP and its general partner, Terrion GP Inc.
• The transaction values Terrion at over $2.5 billion and involves gross proceeds of approximately $1.26 billion for Telus.
• The deal is expected to reduce Telus's net debt by $1.26 billion, accelerating deleveraging and advancing the company's progress toward sustainable growth.

Key Details

• Transaction Structure: La Caisse acquired a 49.9% equity interest in each of Terrion LP and Terrion GP Inc.
• Financial Consideration: The transaction value is approximately $1.26 billion.
• Valuation: The deal values Terrion at over $2.5 billion.
• Impact on Telus: The transaction reduces Telus's net debt by $1.26 billion, equivalent to approximately 0.17 times Telus's current net debt-to-EBITDA ratio.
• Asset Details: Terrion is Canada's largest dedicated wireless tower operator, with a portfolio of nearly 3,000 sites across the country.
• Strategic Goals: The partnership aims to support national wireless competition through wholesale access, strengthen Telus's balance sheet, and accelerate deleveraging.
• Terrion's Future Plans: La Caisse aims to expand Terrion's asset base through the construction and acquisition of new towers and welcoming additional mobile network operators as customers.

Notable Quotes

• Darren Entwistle, President and CEO, Telus: "Today's announcement marks a significant milestone for both Telus and Canada's telecommunications industry as a whole... This unique partnership not only supports national wireless competition through wholesale access, but also unlocks significant value for Telus shareholders by strengthening our balance sheet and accelerating our deleveraging program."
• Emmanuel Jaclot, Executive Vice-President and Head of Infrastructure and Sustainability, La Caisse: "Our goal is to expand its asset base through the construction and acquisition of new towers while welcoming additional mobile network operators as new customers to improve connectivity and service offerings for Canadians."
• Eros Spadotto, CEO, Terrion: "Working closely with municipalities, developers and suppliers, we are enabling smarter urban planning and accelerating wireless service delivery across communities to help catalyze the digital economy, support the deployment of world-leading technology, and offer the best possible wireless experience today and for years to come."