Agreement ensures continuity of service and enhanced functionality for
VANCOUVER, Oct. 23, 2013 /CNW/ - TELUS has entered into an agreement
with Public Mobile to obtain 100 per cent ownership of the company.
Pending approval from the Competition Bureau following today's approval
by Industry Canada, the transaction will ensure continuity of service
and enhanced functionality for Public Mobile's 280,000 wireless
"Following our review of strategic options for our organization, TELUS
stood out as the company most committed to strong customer service and
innovation. We are confident this is the right decision for our
customers, our company, our employees and our investors," said Alek
Krstajic, Public Mobile CEO. "This transaction is the best option to
guarantee continued quality service for our customers and to maximize
the opportunity for our employees and investors."
Terms of the transaction have not been disclosed. Proceeds will be used
to satisfy Public Mobile's debt and equity investors. Public Mobile
employees will have the opportunity to review and secure roles with
"We look forward to the successful completion of this transaction, and
migrating Public Mobile's customers onto TELUS' world-class 4G LTE
network while putting their spectrum to good use for millions of
customers across Canada," said Eros Spadotto, TELUS EVP of Technology
Strategy and Operations. "Public Mobile's PCS G block spectrum is part
of a developing ecosystem that is being driven by the insatiable demand
consumers have for access to wireless data applications. Major U.S.
carriers are ensuring this spectrum is purposed for the deployment of
LTE networks and notably, the iPhone 5s and 5c have this spectrum
ecosystem incorporated within their chipset, consistent with the trend
across smartphone manufacturers to produce products that can be sold
globally with a lessened need for customization on a market-by-market
basis. Additionally, Public Mobile's G block spectrum aligns well with
matching spectrum TELUS holds in western Canada. The spectrum was
acquired by Public Mobile from the open part of the 2008 auction, not
from that set aside for new entrants, so is not subject to a transfer
Public Mobile has operations in Ontario and Quebec. Public Mobile
customers will now have their product offering evolve to also include
the availability of higher-end handsets offered by TELUS.
TELUS provides 4G wireless coverage to 99 per cent of Canadians from
Caution Regarding Forward Looking Statements
This news release contains statements about expected future events of
TELUS that are forward-looking. By their nature, forward-looking
statements require the Company to make assumptions and predictions and
are subject to inherent risks and uncertainties. There can be no
assurance that the associated benefits for TELUS shareholders of the
transaction will be realized, or that the expected regulatory and other
approvals will be obtained. There is significant risk that the
forward-looking statements will not prove to be accurate. Readers are
cautioned not to place undue reliance on forward-looking statements as
a number of factors could cause actual future events to differ
materially from that expressed in the forward-looking statements.
Except as required by law, TELUS disclaims any intention or obligation
to update or revise forward-looking statements.
TELUS (TSX: T, NYSE: TU) is a leading national telecommunications
company in Canada, with $11.2 billion of annual revenue and 13.2
million customer connections, including 7.7 million wireless
subscribers, 3.3 million wireline network access lines, 1.4 million
Internet subscribers and 743,000 TELUS TV customers. Led since 2000 by
President and CEO, Darren Entwistle, TELUS provides a wide range of
communications products and services, including wireless, data,
Internet protocol (IP), voice, television, entertainment and video.
In support of our philosophy to give where we live, TELUS, our team
members and retirees have contributed more than $300 million to
charitable and not-for-profit organizations and volunteered 4.8 million
hours of service to local communities since 2000. Fourteen TELUS
Community Boards lead TELUS' local philanthropic initiatives. TELUS was
honoured to be named the most outstanding philanthropic corporation
globally for 2010 by the Association of Fundraising Professionals,
becoming the first Canadian company to receive this prestigious
For more information about TELUS, please visit telus.com.
About Public Mobile
Formed in 2008, Public Mobile provides unlimited talk, text, Android
data services and Siren music to value conscious customers in Ontario
and Quebec. There are no contracts, no credit checks and no surprises.
Public Mobile launched its network service in May 2010 in Toronto and
in June 2010 in Montreal. Public Mobile is building its network from
Windsor to Quebec City. Public Mobile's licence covers an area reaching
19 million Canadians. Public Mobile is owned by Thomvest Capital and
Cartesian Capital Group. More information about Public Mobile can be
found at www.publicmobile.ca.
SOURCE: TELUS Corporation
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