Mason Capital Management LLC ("Mason") today issued the following statement regarding the Supreme Court of British Columbia's decision invalidating actions taken by CDS & Co., the registered holder of Mason's voting shares in TELUS Corporation (TSX:T; TSX:T.A; NYSE: TU) ("TELUS"), to call a general meeting of TELUS:
"While we are disappointed by the Court's decision, on a review of the reasons, we have concluded that there are strong grounds of appeal. Mason will be pursuing an appeal on an expedited basis to ensure that this important matter is decided before the October 17 meeting of TELUS shareholders. We believe it is critical that the owners of the voting shares have the opportunity to vote on a binding change to the company's articles to establish an appropriate minimum premium to be paid in a dual class collapse transaction. Mason will continue to oppose the actions of TELUS aimed at unfairly taking value from the voting shareholders and transferring it to the non-voting shareholders, which include TELUS' board of directors and executive management team, at a 1-for-1 exchange ratio."
As the Court noted, "the question of the appropriate conversion ratio is a matter that concerns all shareholders and is not collateral to the government of the company." Mason will vote its shares against TELUS' proposal and, to the extent required, will assert substantial claims available to it and other voting shareholders against the oppressive actions TELUS has taken against the class of voting shareholders.
Mason Capital Management is an investment manager based in New York.