VANCOUVER, Aug. 14, 2013 /PRNewswire/ - TELUS Corporation announced today that it will purchase and cancel up to 6.5 million of its common shares through private agreements with an arm's-length third-party seller.
These private purchase agreements are separate and in addition to the private agreements for the purchase of 4.0 million common shares previously announced on June 14, 2013. Private agreements for purchases of up to 4.0 million common shares were made and may continue to be made according to an issuer bid exemption order issued by the Ontario Securities Commission (OSC) on June 14, 2013 (June Order), which provides that such purchases must occur prior to September 30, 2013. To date, TELUS Corporation has completed purchases of 3.5 million of these 4.0 million common shares.
The private agreement purchases for the additional 6.5 million common shares will be made according to an issuer bid exemption order issued by the OSC on August 13, 2013 (August Order) and will take place by way of several transactions pursuant to the terms of the August Order, which provides that such purchases must occur prior to November 30, 2013.
The common shares purchased will be counted towards the 31.9 million common shares (subject to a maximum aggregate purchase price of $1 billion) that TELUS is entitled to purchase for cancellation under its amended normal course issuer bid (Amended NCIB) announced on July 22, 2013 and approved by the Toronto Stock Exchange (TSX) on July 23.All common shares purchased by way of private agreements made pursuant to the June Order and August Order will be included in computing the number of common shares purchased under the Amended NCIB (and will not exceed, in aggregate, more than one-third of the maximum number of common shares that TELUS is permitted to purchase under the Amended NCIB, being 10,633,333 common shares). The price that TELUS will pay for the common shares purchased under the private agreements will be negotiated by TELUS and the sellers and will be at a discount to the market price of TELUS' common shares on the TSX at the time of the purchases.