UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the month of August 2024
Commission File Number 001-15144
TELUS
CORPORATION
(Translation of registrant's name into English)
23rd
Floor, 510 West Georgia Street
Vancouver, British Columbia V6B 0M3
Canada
(Address of principal executive office)
Indicate by check mark whether the registrant
files or will file annual reports under cover of Form 20-F or Form 40-F:
Signatures
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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TELUS CORPORATION |
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By: |
/s/ Andrea Wood |
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Name: |
Andrea Wood |
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Title: |
Executive Vice President and Chief Legal and Governance Officer |
Date: August 14, 2024
Exhibit Index
Exhibit 99.1
Execution Version
TELUS CORPORATION
DEBT SECURITIES
Agency Agreement
August 8, 2024
To the Agents named in Schedule II hereto
Ladies and Gentlemen:
TELUS Corporation, a British Columbia company
(the “Company”), proposes to appoint the agents named in Schedule II hereto (collectively, the “Agents”,
and each individually an “Agent”) as its sole and exclusive agents to offer for sale, on a best efforts basis, up
to the principal amount of its debt securities identified in Schedule I hereto (the “Securities”), to be issued under
the indenture dated as of May 22, 2001 (the “Base Indenture”) between the Company and Computershare Trust Company
of Canada (formerly Montreal Trust Company of Canada), as trustee (the “Trustee”), as supplemented by the First Series Supplemental
Indenture dated as of May 30, 2001, the Second Series Supplemental Indenture dated as of May 30, 2001, the Third Series Supplemental
Indenture dated as of May 30, 2001, the Fourth Series Supplemental Indenture dated as of May 18, 2006, the Fifth Series Supplemental
Indenture dated as of March 13, 2007, the Sixth Series Supplemental Indenture dated as of March 13, 2007, the Seventh
Series Supplemental Indenture dated as of April 9, 2008, the Eighth Series Supplemental Indenture dated as of May 20,
2009, the Ninth Series Supplemental Indenture dated as of December 4, 2009, the Tenth Series Supplemental Indenture dated
as of July 23, 2010, the Eleventh Series Supplemental Indenture dated as of May 25, 2011, the Twelfth Series Supplemental
Indenture dated as of December 11, 2012, the Thirteenth Series Supplemental Indenture dated as of April 1, 2013, the Fourteenth
Series Supplemental Indenture dated as of April 1, 2013, the Fifteenth Series Supplemental Indenture dated as of November 26,
2013, the Sixteenth Series Supplemental Indenture dated as of November 26, 2013, the Seventeenth Series Supplemental Indenture
dated as of April 4, 2014, the Eighteenth Series Supplemental Indenture dated as of April 4, 2014, the Nineteenth Series Supplemental
Indenture dated as of September 15, 2014, the Twentieth Series Supplemental Indenture dated as of September 15, 2014,
the Twenty-First Series Supplemental Indenture dated as of March 27, 2015, the Twenty-Second Series Supplemental Indenture
dated as of March 27, 2015, the Twenty-Third Series Supplemental Indenture dated as of March 27, 2015, the Twenty-Fourth
Series Supplemental Indenture dated as of December 8, 2015, the Twenty-Fifth Series Supplemental Indenture dated as of
December 8, 2015, the Twenty-Sixth Series Supplemental Indenture dated as of March 6, 2017, the Twenty-Seventh Series Supplemental
Indenture dated as of October 1, 2017, the Twenty-Eighth Series Supplemental Indenture dated as of March 1, 2018, the
Twenty-Ninth Series Supplemental Indenture dated as of March 1, 2018, the Thirtieth Series Supplemental Indenture dated
as of April 3, 2019, the Thirty-First Series Supplemental Indenture dated as of July 2, 2019, the Thirty- Second Series Supplemental
Indenture dated as of December 16, 2019, the Thirty-Third Series Supplemental Indenture dated as of December 16, 2019,
the Thirty-Fourth Series Supplemental Indenture dated as of May 29, 2020, the Thirty-Fifth Series Supplemental Indenture
dated as of May 29, 2020, the Thirty-Sixth Series Supplemental Indenture dated as of October 5, 2020, the Thirty-Seventh
Series Supplemental Indenture dated as of April 5, 2021, the Thirty- Eighth Series Supplemental Indenture dated June 28,
2021, the Thirty-Ninth Series Supplemental Indenture dated September 13, 2022, the Fortieth Series Supplemental Indenture
dated September 13, 2022, the Forty-First Series Supplemental Indenture dated September 13, 2022, the Forty-Second Series Supplemental
Indenture dated March 28, 2023, the Forty-Third Supplemental Indenture dated June 15, 2023, the Forty-Fourth Series Supplemental
Indenture dated September 8, 2023, the Forty-Fifth Series Supplemental Indenture dated September 8, 2023, the Forty-Sixth
Series Supplemental Indenture dated September 8, 2023, the Forty- Seventh Supplemental Indenture dated January 2, 2024,
the Forty-Eighth Series Supplemental Indenture, dated February 15, 2024, the Forty-Ninth Series Supplemental Indenture,
dated February 15, 2024 and the Fiftieth Series Supplemental Indenture, dated February 15, 2024 (collectively, the Base
Indenture as so supplemented, the “ Original Indenture”), as further supplemented by a Fifty-First Series Supplemental
Indenture to be dated as of the Closing Date (as defined herein) (collectively with the Original Indenture, the “Indenture”)
between the Company and the Trustee.
The Company has prepared and filed with the British
Columbia Securities Commission (the “Reviewing Authority”) and the Canadian securities regulatory authorities (together
with the Reviewing Authority, the “Qualifying Authorities”) of each of the other provinces of Canada (including British
Columbia, collectively, the “Qualifying Provinces”) in accordance with National Instruments 44-101 Short Form Prospectus
Distributions (“National Instrument 44-101”) and 44-102 Shelf Distributions (“National Instrument
44-102”), and BC Instrument 44-503 Exemption from Certain Prospectus Requirements for Canadian Well-known Seasoned Issuers
issued by the Reviewing Authority and equivalent blanket orders issued by the other Qualifying Authorities, in each case as may be
amended, substituted or varied from time to time (collectively, the “ WKSI Blanket Orders”), a short form base shelf
prospectus dated August 2, 2024 relating to debt securities, preferred shares, common shares, warrants to purchase equity securities,
warrants to purchase debt securities, share purchase contracts, share purchase or equity units and subscription receipts (in the English
and French languages, as applicable, the “Shelf Prospectus”) and has obtained from the Reviewing Authority a receipt
evidencing the receipt or deemed receipt, as applicable, for the Shelf Prospectus from each of the Qualifying Authorities pursuant to
Multilateral Instrument 11-102 – Passport System and National Policy 11-202 – Process
for Prospectus Reviews in Multiple Jurisdictions.
The Company will prepare and file with the Qualifying
Authorities, in accordance with National Instrument 44-102 and the WKSI Blanket Orders (collectively, the “Shelf Procedures”),
a prospectus supplement dated the date hereof to the Shelf Prospectus in respect of the offering of the Securities setting forth the
Shelf Information (as defined below) (the “Prospectus Supplement”), in both the English and French languages, by the
earlier of: (a) the date the Prospectus Supplement is first sent or delivered to a purchaser; and (b) two Business Days after
the execution and delivery of this Agreement.
The information included in the Prospectus Supplement
that is omitted from the Shelf Prospectus but that is required under the Shelf Procedures to be included in the Prospectus Supplement
is referred to as the “Shelf Information”.
The Shelf Prospectus, including the documents
and any other information expressly incorporated by reference therein, is herein referred to as the “Prospectus”,
except that when the Prospectus Supplement is furnished to the Agents for use in connection with the offering of the Securities in Canada
or filed with the Qualifying Authorities, the term “ Prospectus” shall include the Prospectus Supplement, including
the documents and any other information expressly incorporated by reference therein. Any amendment to the Prospectus, any amended or
supplemental prospectus or auxiliary material, information, evidence, return, report, application, statement or document relating to
the sale of the Securities that may be filed by or on behalf of the Company under the securities laws of the Qualifying Provinces prior
to the Closing Date or, where such document is deemed to be incorporated by reference in the Prospectus, prior to the expiry of the period
of distribution of the Securities in Canada, is referred to herein collectively as the “Supplementary Material”.
The Company hereby agrees with the Agents as follows:
| 1. | The Company agrees to create and issue the
Securities and appoint the Agents as its sole and exclusive agents to offer for sale on a
best efforts basis in reliance on the representations and warranties herein contained, and
upon and subject to the terms and conditions hereinafter stated, up to Cdn. $700,000,000
principal amount of 4.65% Notes, Series CAQ due August 13, 2031 at a price of Cdn.
$999.11 per Cdn. $1,000 principal amount of such notes plus accrued interest, if any, from
August 13, 2024 to the date of delivery. The Securities will be issued pursuant to the
Base Indenture as supplemented by the Fifty-First Series Supplemental Indenture to be
dated as of the Closing Date. |
| 2. | (a) | The
Company understands that the Agents or their affiliates will offer the Securities for sale
on a best efforts basis, on behalf of the Company in the Qualifying Provinces. |
| (b) | The Agents agree to offer the Securities
only in accordance with, and in a manner permitted by, the laws of each jurisdiction in which
such Securities are permitted to be offered, as described under “Plan of Distribution”
in the Prospectus Supplement. |
| (c) | The Company has complied and will comply
with the requirements of Part 6A of National Instrument 44-102 to enable the satisfaction
(or reliance on an exemption therefrom, as the case may be) of requirements under Canadian
Securities Laws to deliver, send or provide access to the Shelf Prospectus, as supplemented
by the Prospectus Supplement (as so supplemented, the “Offering Prospectus”),
and any amendment thereto, through access thereto. |
| (d) | The Agents shall satisfy any request for
electronic or paper copies of the Offering Prospectus or any amendment thereto in accordance
with the requirements of National Instrument 44-102, without charge. |
| (e) | In addition, in connection with the distribution
of the Securities, each Agent (i) represents that it has not offered or sold, directly
or indirectly, and agrees that it will not, directly or indirectly, offer, sell or deliver,
any of the Securities in the United States, its territories and its possessions or to, or
for the account or benefit of, a “U.S. person” (as defined in Regulation S under
the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”))
and (ii) agrees that it will include a comparable provision to clause (i) above
of this Section 2 in any sub-underwriting, banking group or selling group agreement
or similar arrangement with respect to the Securities that may be entered into by such Agent. |
| 3. | Payment for the Securities shall be made by
the Agents on behalf of purchasers who have agreed to purchase Securities by wire transfer
in immediately available funds to the account specified by the Company to the Agents, which
notification shall be no later than noon on the Business Day (as defined herein) prior to
the date of payment, such payment to be made on the date and at the time and place set forth
in Schedule I hereto (or at such other time and place on the same or such other date, not
later than the fifth Business Day thereafter, as the Agents and the Company may agree in
writing). As used herein, the term “Business Day” means any day other
than a day on which banks are permitted or required to be closed in Toronto, Ontario. The
time and date of such payment and delivery with respect to the Securities are referred to
herein as the “Closing Date”. |
Payment for the Securities shall be
made against delivery to the nominee of the depositary specified in Schedule I hereto for the respective accounts of the several Agents
of the Securities of one or more global notes (the “Global Notes”) representing the Securities, with any transfer
taxes payable in connection with the transfer to purchasers of the Securities duly paid by the Company. Copies of the Global Notes will
be electronically transmitted (such as by use of .pdf) to counsel to the Agents for inspection by the Agents not later than 3:00 p.m. (Eastern
time) on the Business Day prior to the Closing Date.
In return for the Agents’ services
in acting as financial advisors to the Company, in assisting in the preparation of the Prospectus Supplement (and any supplement or amendment
thereto), in advising on the final terms and conditions of the Securities, participating in and managing the sale of the Securities,
in distributing the Securities, both directly and to other registered dealers and brokers, and in performing administrative work in connection
with the distribution of the Securities, the Company agrees to pay to the Agents, at the Closing Date a fee (the “Agents’
Fee”) of Cdn. $3.70 per Cdn. $1,000 principal amount of the Securities actually sold, exclusive of any applicable goods and
services tax or any similar applicable tax. Each Agent shall be entitled to receive that proportion of the aggregate Agents’ Fee
paid by the Company in respect of the Securities equal to the percentage listed opposite its name in Schedule II in respect of the Securities.
| 4. | During the distribution of the Securities,
the Company and BMO Nesbitt Burns Inc. (“BMO”), CIBC World Markets Inc.
(“CIBC”) and RBC Dominion Securities Inc. (“RBC”, and
together with BMO and CIBC, the “Representatives”) shall approve in writing
(approval given by e-mail to be considered given in writing), prior to such time marketing
materials (as such term is defined in National Instrument 41-101 General Prospectus Requirements
(“NI 41-101”)) are provided to potential investors resident in Canada,
any marketing materials reasonably requested to be provided by the Agents to any potential
investor of the Securities, such marketing materials to comply with Canadian Securities Laws.
The Company shall file such marketing materials with the Qualifying Authorities in accordance
with Canadian Securities Laws. Any such filing shall constitute the Agents’ authority
to use such marketing materials in connection with the Offering. The Company, and the Agents,
on a several basis, covenant and agree not to provide any potential investor resident in
Canada with any marketing materials other than those approved in accordance with this Section 4
and limited-use versions thereof. |
| 5. | The Company represents and warrants to each
Agent that: |
| (a) | The Company is eligible to use the Shelf
Procedures; |
| (b) | At the time of the filing of the Shelf
Prospectus, the Corporation was eligible to use the exemptions from certain prospectus requirements
set out in the WKSI Blanket Orders; |
| (c) | The Reviewing Authority has issued a receipt
evidencing the receipt or deemed receipt, as applicable, for the Shelf Prospectus from each
of the Qualifying Authorities; no Qualifying Authority or any court has issued an order preventing
or suspending the use of the Prospectus relating to the proposed offering of the Securities
or preventing the distribution of the Securities or instituted proceedings for that purpose; |
| (d) | The Company is a reporting issuer not
in default under all applicable securities laws in each of the Qualifying Provinces (where
such concept exists) and the respective rules and regulations under such laws and is
in compliance with its obligations thereunder in all material respects and there has been
no material change (within the meaning of such term under Canadian Securities Laws relating
to the Company which has occurred since December 31, 2023 and with respect to which
the requisite material change report has not been filed on a non-confidential basis with
the Qualifying Authorities, except to the extent that the offering contemplated hereby may
constitute a material change; |
| (e) | (i) As of the date thereof, the Shelf
Prospectus complied in all material respects with all applicable securities laws in each
of the Qualifying Provinces and the respective rules, regulations and blanket orders under
such laws including, without limitation, the Shelf Procedures and applicable published policy
statements of securities regulatory authorities in such provinces (collectively, the “Canadian
Securities Laws”), and, at the time of its delivery to the Agents and the Agents’
offer for sale to the public of the Securities, the Prospectus complied and will comply,
as applicable, in all material respects with the Canadian Securities Laws; (ii) the
Shelf Prospectus, as supplemented by the Prospectus Supplement, or any amendment or supplement
thereto, as of the applicable filing date, will constitute full, true and plain disclosure
of all material facts relating to the Company and the Securities and will not contain an
untrue statement of a material fact or omit to state a material fact required to be stated
therein or which is necessary to make the statements contained therein, in light of the circumstances
under which they were made, not misleading; and (iii) the documents incorporated by
reference in the Prospectus, when they were filed with the Qualifying Authorities, were prepared
in accordance with the Canadian Securities Laws in all material respects; and any further
documents so filed and incorporated by reference in the Prospectus, or any further amendment
or supplement thereto, when such documents are filed with the Qualifying Authorities, will
be prepared in accordance with the Canadian Securities Laws in all material respects; provided,
however, that the representation and warranty set forth in this clause 5(e) shall
not apply to any statements or omissions made in reliance upon and in conformity with information
furnished in writing to the Company by the Agents (“Agent Information”)
expressly for use therein; |
| (f) | There are no reports or information that
in accordance with the requirements of the Canadian Securities Laws must be made publicly
available in connection with the offering of the Securities that have not been made publicly
available as required (other than reports or information required to be made public after
the date hereof pursuant to the Shelf Procedures); there are no contracts or documents required
to be filed with any Qualifying Authority in connection with the Shelf Prospectus or the
Prospectus Supplement that have not been filed as required pursuant to Canadian Securities
Laws and delivered to the Agents; |
| (g) | The consolidated financial statements
of the Company incorporated by reference in the Prospectus present fairly the consolidated
financial position of the Company and its subsidiaries as of the dates indicated and the
consolidated results of operation and the consolidated changes in financial position of the
Company and its subsidiaries for the periods specified and such financial statements have
been prepared in accordance with International Financial Reporting Standards as issued by
the International Accounting Standards Board, consistently applied throughout the periods
involved; the selected financial data included in the Prospectus present fairly the information
shown therein and have been compiled on a basis consistent with that of the consolidated
financial information included in the Prospectus; |
| (h) | Deloitte LLP, who have reported upon the
audited consolidated financial statements of the Company included in the Prospectus are,
and during the periods covered by their report were, independent with respect to the Company
within the meaning of the Business Corporations Act (British Columbia) and applicable
Canadian Securities Laws; |
| (i) | Since the respective dates as of which
information is given in the Prospectus, there has not been any material change in the capital
stock or long-term debt of the Company or any of its subsidiaries, except as set forth or
contemplated in the Prospectus, or any material adverse change in or affecting the general
affairs, assets or properties, business, prospects, results of operations or the condition
(financial or otherwise) of the Company and its subsidiaries, taken as a whole (a “Material
Adverse Effect”); and except as set forth or contemplated in the Prospectus, neither
the Company nor any of its subsidiaries has entered into any transaction or agreement (whether
or not in the ordinary course of business) material to the Company and its subsidiaries taken
as a whole; |
| (j) | The Company has been duly incorporated
and is validly existing as a corporation in good standing under the laws of the Province
of British Columbia, with corporate power and capacity to own its properties and conduct
its business as described in the Prospectus, and has been duly qualified as an extra-provincial
corporation for the transaction of business and is in good standing under the laws of each
other jurisdiction in which it owns or leases properties, or conducts any business, so as
to require such qualification, other than where the failure to be so qualified or in good
standing would not have a Material Adverse Effect; |
| (k) | TELUS Communications Inc. (“TCI”)
has been duly incorporated and is validly existing as a corporation under the laws of British
Columbia with corporate power and capacity to own its properties and conduct its business
as described in the Prospectus, and has been duly qualified as an extra-provincial corporation
or has made all necessary extra-provincial registrations for the transaction of business
and is in good standing under the laws of each jurisdiction in which it owns or leases properties
or conducts any business so as to require such qualification, other than where the failure
to be so qualified or in good standing would not have a Material Adverse Effect; and all
the outstanding shares of capital stock of TCI have been duly authorized and validly issued,
are fully-paid and non-assessable, and are owned by the Company, free and clear of all liens,
encumbrances, security interests and claims, except for any liens, encumbrances, security
interests and claims which, singly or in the aggregate, are not material to the Company and
its subsidiaries, taken as a whole; |
| (l) | TELUS International (Cda) Inc. (“TELUS
International”) has been duly incorporated and is validly existing as a corporation
under the laws of British Columbia with corporate power and capacity to own its properties
and conduct its business as described in the Prospectus, and has been duly qualified as an
extra-provincial corporation or has made all necessary extra-provincial registrations for
the transaction of business and is in good standing under the laws of each jurisdiction in
which it owns or leases properties or conducts any business so as to require such qualification,
other than where the failure to be so qualified or in good standing would not have a Material
Adverse Effect; and all the outstanding shares of capital stock of TELUS International that
are owned by the Company, directly or indirectly, have been duly authorized and validly issued,
are fully-paid and non-assessable, and are owned by the Company, free and clear of all liens,
encumbrances, security interests and claims, except for any liens, encumbrances, security
interests and claims which, singly or in the aggregate, are not material to the Company and
its subsidiaries, taken as a whole; |
| (m) | TCI and TELUS International are the only
subsidiaries of the Company that separately own assets constituting more than 10% of the
consolidated assets of the Company and that generated sales and operating revenues that exceeded
10% of the consolidated sales and operating revenues of the Company for the year ended December 31,
2023. In addition, all of the assets, sales and operating revenues of the Company’s
other subsidiaries (other than TCI and TELUS International), together do not exceed 20% of
the Company’s total consolidated assets or 20% of the Company’s total consolidated
sales and operating revenues for the year ended December 31, 2023. The assets, sales
and operating revenues of TELUS International contributed less than 15% to the Company’s
total consolidated assets and less than 15% to the Company’s total consolidated sales
and operating revenues, as at, or for the year ended, December 31, 2023, respectively; |
| (n) | This Agreement has been duly authorized,
executed and delivered by the Company and constitutes a legal, valid and binding obligation
of the Company, subject to (i) bankruptcy, insolvency, liquidation, moratorium, reorganization,
arrangement or other laws of general application relating to or affecting the enforcement
of rights of creditors; (ii) general principles of equity, including the qualification
that equitable remedies, including, without limitation, specific performance and injunction,
may be granted only in the discretion of a court of competent jurisdiction, and the qualification
that equitable remedies may not be available in any case against the Company; (iii) statutory
and inherent powers of a court to stay proceedings before it and to grant relief from forfeiture;
and (iv) the limitation that the rights of indemnity, contribution and waiver may be
limited by applicable laws; |
| (o) | The Securities have been duly authorized,
and, when issued and delivered pursuant to this Agreement and the Indenture, will have been
duly executed, authenticated (when duly countersigned by the Trustee), issued and delivered
and will constitute valid and binding obligations of the Company, enforceable in accordance
with their terms, (except as (i) the enforceability thereof may be limited by bankruptcy,
insolvency, liquidation, moratorium, reorganization, arrangement or other laws of general
application relating to or affecting the enforcement of rights of creditors and (ii) rights
of acceleration and the availability of equitable remedies may be limited by equitable principles
of general applicability) and entitled to the benefits provided by the Indenture; and, when
executed and delivered by the Company and the Trustee, the Indenture will constitute a valid
and binding instrument, enforceable against the Company in accordance with its terms; (except
as (i) the enforceability thereof may be limited by bankruptcy, insolvency, liquidation,
moratorium, reorganization, arrangement or other laws of general application relating to
or affecting the enforcement of rights of creditors, (ii) rights of acceleration and
the availability of equitable remedies may be limited by equitable principles of general
applicability, and (iii) rights to indemnity and contribution may be limited by applicable
law) and the Securities and the Indenture conform or will conform, in all material respects,
to the descriptions thereof in the Prospectus; |
| (p) | (i) The Original Indenture does meet,
and the Indenture and the form and terms of the Securities will meet, all legal requirements
under the Business Corporations Act (Ontario) and the Business Corporations Act
(British Columbia), and (ii) the provisions of the Business Corporations Act
(Ontario) and the Business Corporations Act (British Columbia) have been complied
with, or will have been complied with no later than the time of delivery of the Securities
by the Company, in respect of the issue, authentication (when duly countersigned by the Trustee)
and delivery of the Securities; |
| (q) | Neither the Company nor TCI is, or with
the giving of notice or lapse of time or both would be, in violation of or in default under,
its Notice of Articles, Articles or Certificate of Incorporation, as the case may be, or
any indenture, mortgage, deed of trust, loan agreement or other agreement, license or instrument
to which the Company or TCI is a party or by which either of them or any of their respective
properties is bound, except for violations and defaults which, singly or in the aggregate,
would not have a Material Adverse Effect and except as disclosed in the Prospectus; the issue
and sale of the Securities and the performance by the Company of all of its obligations under
the Securities, the Indenture and this Agreement and the consummation of the transactions
herein and therein contemplated will not conflict with or result in a breach of any of the
terms or provisions of, or constitute a default under, any indenture, mortgage, deed of trust,
loan agreement or other agreement, license or instrument to which the Company or TCI is a
party or by which the Company or TCI is bound or to which any of the property or assets of
the Company or TCI is subject, except for any conflicts, breaches or defaults which, singly
or in the aggregate, would not have a Material Adverse Effect or a material adverse effect
on the Company’s ability to issue and sell the Securities and perform all of its obligations
under the Securities, the Indenture and this Agreement and the Agents’ ability to offer
for sale the Securities, nor will any such action result in any violation of the provisions
of (i) the Notice of Articles, Articles or Certificate of Incorporation, as the case
may be, of the Company or TCI, or (ii) any applicable law or statute or any order, rule or
regulation of any court or governmental agency or body having jurisdiction over the Company,
TCI or any of their respective properties, except for any violations in the case of this
clause (ii) which, singly or in the aggregate, would not have a Material Adverse Effect;
and no consent, approval, authorization, order, license, registration or qualification of
or with any such court or governmental agency or body is required for the issue and sale
of the Securities or the consummation by the Company of the transactions contemplated by
this Agreement or the Indenture, except such consents, approvals, authorizations, orders,
licenses, registrations or qualifications as have been obtained (or will be obtained prior
to the Closing Date) under Canadian Securities Laws; |
| (r) | Other than as set forth or contemplated
in the Prospectus, there are no legal or governmental investigations, actions, suits or proceedings
pending or, to the knowledge of the Company, threatened before any court or before or by
any federal, provincial, state, municipal or other governmental or public department, commission,
board, agency or body, domestic or foreign (including, without limitation, proceedings, inquiries,
or investigations of Innovation, Science and Economic Development Canada (“ISED”)
or Department of Canadian Heritage (“Canadian Heritage”), the Canadian
Radio-television and Telecommunications Commission (the “CRTC”) or the
Competition Bureau (the “Bureau”), or arising under the Telecommunications
Act (Canada) (the “Telecommunications Act”), the Radiocommunication
Act (Canada) (the “Radiocommunication Act”), the Broadcasting
Act (Canada) (the “Broadcasting Act”) or the Competition Act (Canada)
(the “Competition Act”)), against or involving the Company or TCI or any
of their respective properties or to which the Company or TCI is or may be a party or to
which any property of the Company or TCI is or may be the subject which, singly or together
with any related such determinations, would have, or would reasonably be expected to have,
a Material Adverse Effect and, to the best of the Company’s knowledge, no such proceedings
are threatened or contemplated by governmental authorities or threatened by others; nor are
there any matters under discussion with any governmental authorities relating to taxes, governmental
charges or assessments asserted by any such authority which would have a Material Adverse
Effect; |
| (s) | The Company and TCI have good leasehold
title or good and marketable title to material real property and buildings and good title
to material personal property; and all material real property held under leases are held
by the Company and TCI under valid, existing and enforceable leases, as such leases pertain
to the Company and TCI, with such exceptions as do not interfere with the use made or proposed
to be made of such property and buildings by the Company or TCI or would not, singly or in
the aggregate, have a Material Adverse Effect; and all material items of real property and
material personal property owned by the Company and TCI are held free and clear of all liens,
encumbrances and defects except such as are described or referred to in the Prospectus, or
such as would not have a Material Adverse Effect; |
| (t) | No relationship, direct or indirect, exists
between or among the Company or any of its subsidiaries on the one hand, and the directors,
officers, stockholders, customers or suppliers of the Company or any of its subsidiaries
on the other hand, which is required by the Canadian Securities Laws to be described in the
Prospectus which is not so described; |
| (u) | The Company and TCI have filed all material
federal, provincial, local and foreign tax returns which have been required to be filed and
have paid all taxes shown thereon and all assessments received by them or any of them to
the extent that such taxes are material and have become due and are not being contested in
good faith; and, except as disclosed in the Prospectus, to the best of the Company’s
knowledge, there are no tax deficiencies which have been or might reasonably be expected
to be asserted or threatened against the Company or TCI which would, singly or in the aggregate,
have a Material Adverse Effect; |
| (v) | Each of the Company and TCI owns, possesses
or has adequate and enforceable rights to all licenses, permits, waivers, certificates, registrations,
consents, orders, approvals and other authorizations from, and has made all declarations
and filings with, all federal, provincial, and other governmental authorities (including
foreign regulatory agencies), all self-regulatory organizations and all courts and other
tribunals, domestic or foreign, necessary to own or lease, as the case may be, and to operate
its properties and to carry on its business as conducted as of the date hereof, except where
any failure to possess or obtain any such license, permit, waiver, certificate, registration,
consent, order, approval or other authorization or to make any such declaration or filing
or to fulfill any condition to an authorization, would not, singly or in the aggregate, have
a Material Adverse Effect, and neither the Company nor TCI has received any actual notice
of any proceeding relating to revocation or modification of any such license, permit, waiver,
certificate, registration, consent, order, approval or other authorization, except as described
in the Prospectus or where any revocation or modification would not, singly or in the aggregate,
have a Material Adverse Effect; and each of the Company and TCI is in compliance with all
laws and regulations relating to the conduct of its business as conducted as of the date
hereof, except where any non- compliance would not, singly or in the aggregate, have a Material
Adverse Effect; |
| (w) | The Company and TCI are in compliance
with each licence, permit, approval, authorization, certificate or waiver necessary to operate
its business as described in the Prospectus (“Licences”) held by them
and are not in violation of, or in default in any respect under, the applicable statutes,
ordinances, rules, regulations, orders, policies or decrees of any governmental entities,
regulatory agencies or bodies having, asserting or claiming jurisdiction over it or over
any part of its respective operations or assets, except for such violations or defaults which
would not singly or in the aggregate have a Material Adverse Effect. Except as described
in or contemplated by the Prospectus, the Licences held by the Company and TCI contain no
restrictions that are materially burdensome to the Company or its subsidiaries, taken as
a whole, except as disclosed in the Prospectus; |
| (x) | There are no existing or, to the best
knowledge of the Company, threatened labour disputes with the employees of the Company or
TCI which are likely to have a Material Adverse Effect, other than as disclosed in the Prospectus; |
| (y) | The Company and TCI (i) are in compliance
with any and all applicable foreign, federal, provincial and local laws and regulations relating
to the protection of human health and safety, the environment or hazardous or toxic substances
or wastes, pollutants or contaminants (“Environmental Laws”), (ii) have
received all permits, licenses or other approvals required of them under applicable Environmental
Laws to conduct their respective businesses, and (iii) are in compliance with all terms
and conditions of any such permit, license or approval, except where such non-compliance
with Environmental Laws, failure to receive required permits, licenses or other approvals
or failure to comply with the terms and conditions of such permits, licenses or approvals
would not, singly or in the aggregate, have a Material Adverse Effect; any costs or liabilities
associated with compliance with Environmental Laws would not, singly or in the aggregate,
have a Material Adverse Effect; |
| (z) | Except as disclosed in the Prospectus,
to the best of the Company’s knowledge, there is no pending or threatened change in
the Communications Statutes (as defined herein) which would have a Material Adverse Effect.
“Communications Statutes” means the Telecommunications Act, the Canadian
Radio-television and Telecommunications Commission Act (Canada), the Radiocommunication
Act, the Broadcasting Act or other statutes of Canada specifically relating to the regulation
of the Canadian telecommunications industry (including for this purpose the orders, rules,
regulations, directives, decisions, notices and policies promulgated pursuant to such statutes,
including the Radiocommunication Regulations (Canada) (the “Radiocommunication
Regulations”), the Broadcasting Distribution Regulations (Canada), the Canadian
Telecommunications Common Carrier Ownership and Control Regulations (the “Ownership
Regulations”) and the Direction to the CRTC (Ineligibility of Non-Canadians) (the
“CRTC Direction”)) and applicable statutes or regulations, if any, of
any province of Canada specifically relating to the regulation of the Canadian telecommunications
industry and the orders, rules, regulations, directives, decisions, notices and policies
promulgated thereunder; |
| (aa) | The Company and TCI have timely filed
all renewal applications with respect to all Licenses held by any of them, except where the
failure to file would not result in a Material Adverse Effect; no protests or competing applications
have been filed with respect to such renewal applications and nothing has come to the Company’s
attention that would lead it to conclude that such renewal applications will not be granted
by the appropriate regulatory agency or body in the ordinary course or that its Licenses
will be terminated, except where the consequence of such non-compliance, or applications
not being granted or such Licenses being terminated would not have a Material Adverse Effect;
and the Company and TCI are authorized under the Communications Statutes and the rules and
regulations promulgated thereunder to continue to provide the services which are the subject
of such renewal applications during the pendency thereof; |
| (bb) | The material business and operations
conducted and proposed to be conducted by the Company and TCI, as described in the Prospectus,
are not regulated by any federal or provincial utility or rate-regulating commission, other
than the CRTC, ISED, and the Federal Communications Commission in the areas in which
the Company or TCI conducts or proposes to conduct its material business and operations as
described in the Prospectus, and the Company and TCI are not, and based on existing regulations
will not be, required to obtain any license from any such utility or rate-regulating commission,
other than the CRTC, ISED, and the Federal Communications Commission, except where any
failure to possess or obtain any such license would not, singly or in the aggregate, have
a Material Adverse Effect; except as set forth in the Prospectus, there are no regulatory
matters required to be described in the Prospectus that are not so described therein in order
to make the statements therein not misleading; |
| (cc) | TCI and Altima Solutions Limited are
the only telecommunications common carriers (as such term is used in the Telecommunications
Act and in accordance with the Ownership Regulations) that are controlled by the Company,
and each such company is: |
| (i) | eligible to operate as a Canadian carrier
in Canada, as defined under and in accordance with the Telecommunications Act and the Ownership
Regulations; |
| (ii) | not in violation of the prohibition contained
in subsection 16(4) of the Telecommunications Act against operating in Canada as a telecommunications
common carrier unless it is eligible under Section 16 of the Telecommunications Act
to do so; and |
| (iii) | not controlled by any persons that are
not Canadian, in accordance with the meanings ascribed to the term “control”
under the Telecommunications Act and the term “Canadian” under the Ownership
Regulations; |
| (dd) | Not less than 80% of the members of the
board of directors of TCI and Altima Solutions Limited are individual Canadians, as defined
under the Ownership Regulations, and Canadians, as defined under the Ownership Regulations,
beneficially own, directly or indirectly, in the aggregate and otherwise than by way of security
only, all of the issued and outstanding voting shares, as defined under the Ownership Regulations,
of each such company; |
| (ee) | TCI is the only radiocommunication service
provider (as such term is used in the Radiocommunication Regulations) that is controlled
by the Company, and TCI: |
| (i) | is eligible to hold radio authorizations
authorizing the operation in Canada of radio apparatus, as defined under and in accordance
with the Radiocommunication Act and the Radiocommunication Regulations; |
| (ii) | is not in violation of the prohibition
contained in subsection 4(1) of the Radiocommunication Act against operating radio apparatus
in Canada, except under and in accordance with a radio authorization issued by the Minister
of Innovation, Science and Industry; |
| (iii) | is not controlled by any persons that
are not Canadian, in accordance with the meanings ascribed to the term “control”
under the Telecommunications Act and the term “Canadian” under the Ownership
Regulations; and |
| (iv) | is eligible to be issued a radio authorization
under subsection 9(1) of the Radiocommunication Regulations; |
| (ff) | TCI is Canadian, as defined under the
Ownership Regulations; |
| (gg) | TCI is the only holder of licenses to
operate broadcasting undertakings (as such term is used in the Broadcasting Act) that is
controlled by the Company, and it is: |
| (i) | eligible to hold broadcasting licenses authorizing
the operation in Canada of distribution and programming undertakings, as defined under and
in accordance with the Broadcasting Act; |
| (ii) | not in violation of the prohibition contained
in subsection 32(1) of the Broadcasting Act; and |
| (iii) | not a non-Canadian (as that term is defined
in the CRTC Direction); |
| (hh) | The Company, in respect of its ownership
of and control over TCI, is a carrier holding corporation and a qualified corporation, as
defined under the Ownership Regulations; |
| (ii) | Neither the Company nor TCI is in violation
of any judgment, decree, order, writ, law, statute, rule or regulation rendered or enacted
in Canada respecting telecommunications and the regulation within Canada of telecommunications
common carriers, as defined in the Telecommunications Act, or respecting radiocommunication
and the operation within Canada of radio apparatus, as defined in the Radiocommunication
Act, applicable to the Company or TCI, or any interpretation or policy relating thereto that
is applicable to the Company or TCI except where the consequence of such violation would
not have a Material Adverse Effect; |
| (jj) | To the best of the Company’s knowledge,
the Company and TCI own, license, possess or have adequate and enforceable rights throughout
Canada to all patents, patent licenses, trademarks, service marks and trade names necessary
to carry on their business as presently conducted (except where the failure to own, license
or possess such intellectual property rights would not, singly or in the aggregate, have
a Material Adverse Effect), and, except as described in the Prospectus, neither the Company
nor TCI has received any notice of infringement of or conflict with asserted rights of others
with respect to any patents, patent licenses, trademarks, service marks or trade names, which
would, singly or in the aggregate, result in a Material Adverse Effect; |
| (kk) | Neither the Company nor any of its subsidiaries
or affiliates has taken, nor will any of them take, directly or indirectly, any action designed
to, or that would reasonably be expected to, cause or result in the stabilization or manipulation
of the price of the Securities in order to facilitate the sale or resale of the Securities; |
| (ll) | There have been no “significant
acquisitions” since January 1, 2023 for which the Company is required, pursuant
to applicable Canadian Securities Laws, including Part 8 of National Instrument 51-102
Continuous Disclosure Obligations to file a business acquisition report; |
| (mm) | No stamp duty, registration or documentary
taxes, duties or similar charges are payable under the laws of the Provinces of British Columbia
or Ontario or the federal laws of Canada in connection with the creation, issuance or sale
of the Securities by the Company or the authorization, execution, delivery and performance
of the Indenture and this Agreement; |
| (nn) | As of December 31, 2023, the Company
maintained effective “internal control over financial reporting” (as defined
in Rules 13a-15(f) and 15d-15(f) of the U.S. Securities Exchange Act of 1934,
as amended (the “Exchange Act”) and as defined in National Instrument
52-109 Certification of Disclosure in Issuers’ Annual and Interim Filings (“NI
52-109”)) that were designed to provide reasonable assurance regarding the reliability
of financial reporting and the preparation of financial statements for external purposes
in accordance with generally accepted accounting principles. The Company has prepared a report
of management on the issuer’s internal control over financial reporting (as defined
in Rules 13a-15(f) and 15d-15(f) of the Exchange Act) for the Company’s
2023 fiscal year and have concluded that, as of December 31, 2023, there (i) were
no significant deficiencies (except as disclosed to the Representatives) or material weaknesses
in the design or operation of internal control over financial reporting which are reasonably
likely to adversely affect the Company’s ability to record, process, summarize and
report financial information and (ii) was no fraud, whether or not material, that involves
management or other employees who have significant role in the Company’s internal control
over financial reporting; |
| (oo) | The
Company maintains an effective system of “disclosure controls and procedures”
(as defined in Rule 13a-15(e) and 15d-15(e) of the Exchange Act and in NI
52-109) that is designed to ensure that material information relating to the Company is made
known to the Company’s management during the periods in respect of which reports under
the Exchange Act are being prepared. As of June 30, 2024, the Company has carried out
evaluations of the effectiveness of its disclosure controls and procedures as required by
Rule 13a-15 and Rule 15d-15 of the Exchange Act and NI 52-109, respectively; and |
| (pp) | There is and has been no failure on the
part of the Company or any of the Company’s directors or officers, in their capacities
as such, to comply with any provision of the U.S. Sarbanes-Oxley Act of 2002, as amended
and the rules and regulations promulgated in connection therewith, including Section 402
related to loans and Sections 302 and 906 related to certifications. |
| 6. | The Company covenants and agrees with each
of the several Agents as follows: |
| (a) | To comply with the requirements of the
Shelf Procedures; to file the Prospectus Supplement in each of the Qualifying Provinces within
the time periods required by applicable Canadian Securities Laws; to notify the Agents promptly
in writing (i) when any supplement to the Prospectus or any amended Prospectus shall
have been filed; (ii) of any request by any Qualifying Authority to amend the Prospectus
or to provide additional information; and (iii) of the issuance by any Qualifying Authority
of any order having the effect of ceasing or suspending the distribution of the Securities
or the trading in the Securities, or of the institution or, to the knowledge of the Company,
threatening of any proceedings for any such purpose. The Company will use every reasonable
effort to prevent the issuance of any order preventing or suspending the use of the Prospectus
or any order ceasing or suspending the distribution of the Securities or the trading in the
Securities and, if any such order is issued, to obtain a revocation thereof at the earliest
possible time; |
| (b) | Not to file or to make, at any time, any
amendment or supplement to the Shelf Prospectus that the Agents shall not have previously
been advised of and furnished with a copy of or that the Agents shall have reasonably objected
to; |
| (c) | To furnish to the Agents, without charge:
(i) at the time of filing the Prospectus Supplement, the Prospectus printed in the English
language signed on behalf of the Company and its directors in the manner required by the
Canadian Securities Laws, together with copies of any contract or documentation supplemental
thereto required to be filed under the applicable laws of any of the Canadian provinces;
(ii) at the time of filing the Prospectus Supplement with the Autorité des marchés
financiers, the Prospectus (and any supplements or amendments thereto) printed in the French
language signed on behalf of the Company and its directors in the manner required by the
laws of the Province of Quebec, together with copies of any contract or documentation supplemental
thereto required to be filed under the applicable laws of the Province of Quebec; and (iii) during
the period mentioned in paragraph (d) below the Agents’ reasonable requirements
of commercial copies of the Prospectus (and any amendments thereto) printed in the English
and French languages, as applicable; |
| (d) | If, during such period after the first
date of the public offering of the Securities as in the opinion of counsel for the Company,
the Prospectus is required by law to be delivered in connection with sales by an Agent or
dealer, any event shall occur or condition exist as a result of which it is necessary to
amend or supplement the Prospectus in order to comply with applicable law, forthwith notify
the Agents, or if, in the opinion of counsel for the Agents, it is necessary to amend or
supplement the Prospectus to comply with applicable law, in either case, subject to paragraph
(b) above, to forthwith prepare, file with the Qualifying Authorities and furnish, at
its own expense, to the Agents and to the dealers (whose names and addresses the Agents will
furnish to the Company in writing) to which Securities may have been sold by the Agents and
to any other dealers upon written request, either amendments or supplements to the Prospectus
so that the statements in the Prospectus so amended or supplemented will comply with the
applicable law; |
| (e) | Until the distribution of the Securities
is completed, to file all documents required to be filed with the Qualifying Authorities
under applicable Canadian Securities Laws; |
| (f) | To fulfill and comply with, as soon as
possible and in any event not later than the earlier of: (i) the date the Prospectus
Supplement is first sent to a purchaser or access is otherwise made available to such purchaser
in accordance with applicable Canadian Securities Laws; and (ii) two Business Days after
the execution and delivery of this Agreement, the requirements of the Canadian Securities
Laws to be fulfilled or complied with to enable the Securities to be lawfully distributed
in the Qualifying Provinces through the Agents or any other investment dealers or brokers
registered as such in the Canadian provinces and acting in accordance with the terms of their
registrations and the Canadian Securities Laws; |
| (g) | During the period beginning on the date
hereof and continuing to and including the Business Day following the Closing Date, not to
offer, sell, contract to sell or otherwise dispose of any debt securities of or guaranteed
by the Company which are substantially similar to the Securities; |
| (h) | To use the net proceeds received by the
Company from the sale of the Securities pursuant to this Agreement in the manner specified
in the Prospectus under the caption “Use of Proceeds”; and |
| (i) | Whether or not the transactions contemplated
in this Agreement are consummated or this Agreement is terminated, to pay or cause to be
paid all costs and expenses incidental to the performance of its obligations hereunder, including
without limiting the generality of the foregoing, the fees and disbursements of counsel to
the Agents and all costs and expenses (i) incidental to the preparation, issuance, execution,
authentication and delivery of the Securities, including any expenses of the Trustee, (ii) incidental
to the preparation, printing and filing under the Canadian Securities Laws of the Prospectus
(including all exhibits, amendments and supplements thereto), (iii) payable in connection
with the registration or qualification and determination of eligibility for investment of
the Securities under the laws of such jurisdictions as the Agents may designate, (iv) payable
in connection with the printing (including word processing and duplication costs) and delivery
of this Agreement and the Indenture and the furnishing to Agents and dealers of copies of
the Prospectus, including mailing and shipping, as herein provided, (v) payable to rating
agencies in connection with the rating of the Securities, (vi) incurred by the Company
in connection with a “road show” presentation to potential investors, and (vii) of
any transfer agent. |
| 7. | The several obligations of the Agents hereunder
shall be subject to the following conditions: |
| (a) | The representations and warranties of
the Company contained herein are true and correct on and as of the Closing Date as if made
on and as of the Closing Date and the Company shall have complied with all agreements and
all conditions on its part to be performed or satisfied hereunder at or prior to the Closing
Date; |
| (b) | At the Closing Date, no order having the
effect of ceasing or suspending the distribution of the Securities or the trading in any
other securities of the Company shall have been issued and not rescinded, revoked or withdrawn
by any securities commission, securities regulatory authority or stock exchange in Canada
or the United States and no proceedings for that purpose shall have been instituted or pending
or, to the knowledge of the Company, shall be contemplated by any securities commission,
securities regulatory authority or stock exchange in Canada or the United States; any request
on the part of any Qualifying Authority for additional information shall have been complied
with or withdrawn; and the Prospectus Supplement containing the Shelf Information shall have
been filed with the Qualifying Authorities in accordance with the Shelf Procedures; |
| (c) | Subsequent to the execution and delivery
of this Agreement and prior to the Closing Date, there shall not have occurred any downgrading,
nor shall any notice referring to the Company have been given by any “nationally recognized
statistical rating organization”, as such term is defined in Section 3(a)(62)
of the Exchange Act, or any “designated rating organization,” as such term is
defined in National Instrument 41-101 of (i) any downgrading, (ii) any intended
or potential downgrading, or (iii) any review for a possible change that does not indicate
the direction of the possible change in the rating accorded any securities of or guaranteed
by the Company; |
| (d) | The Prospectus, as supplemented or amended
by any prospectus supplement or amendment, does not contain, as of the Closing Date, any
untrue statement of material fact or omit to state a material fact that is required to be
stated or that is necessary to make a statement not misleading in light of the circumstances
in which it was made (other than in respect of any Agent Information); |
| (e) | The
Agents shall have received on and as of the Closing Date a certificate of an executive officer
of the Company, with specific knowledge about the Company’s financial matters, satisfactory
to the Agents to the effect set forth in Sections 7(a), 7(b), 7(c), and 7(d) (with
respect to the respective representations, warranties, agreements and conditions of the Company)
and to the further effect that there has not occurred any development involving a Material
Adverse Effect from that set forth or contemplated in the Prospectus; |
| (f) | The Agents shall have received on the
filing date of the Prospectus Supplement: |
| (i) | opinions of Norton Rose Fulbright Canada
LLP, counsel to the Company, dated as of the relevant filing date, to the effect that the
French language version of each of (a) the Shelf Prospectus (other than the “Earnings
Coverage Ratios” section of the Shelf Prospectus (the “Prospectus Financial
Section”)), (b) the Prospectus Supplement (other than the “Consolidated
Capitalization” and “Earnings Coverage Ratios” sections of the Prospectus
Supplement (collectively, the “Supplement Financial Sections”, and together
with the Prospectus Financial Section, the “Financial Sections”)), (c) the
indicative term sheet in respect of the Securities (the “Indicative Term Sheet”)
expressly incorporated by reference in the Prospectus Supplement; and (d) the final
term sheet in respect of the Securities (the “Final Term Sheet”), expressly
incorporated by reference in the Prospectus Supplement, is in all material respects a complete
and proper translation of the English language version of each of the Shelf Prospectus, the
Prospectus Supplement, the Indicative Term Sheet, and the Final Term Sheet, as the case may
be; and |
| (ii) | opinions of Borden Ladner Gervais LLP,
Quebec translation counsel to the Company, dated as of such respective filing dates, to the
effect that the French language version of each of (a) the annual information form of
the Company dated February 9, 2024 (the “2023 AIF”), and (b) the
information circular of the Company dated March 13, 2024 (the “2024 Circular”),
are in all material respects a complete and proper translation of the English language version
of the 2023 AIF and the 2024 Circular, as the case may be. |
| (g) | The
Agents shall have received on the respective filing dates of the documents listed in Section
7(f) above an opinion of Deloitte LLP, auditors of the Company, dated as of such
respective filing dates, to the effect that the French language version of each of (i) the
Financial Sections, (ii) the audited consolidated financial statements of the Company
as at and for the year ended December 31, 2023, together with the report of the independent
registered public accounting firm thereon and the notes thereto, (iii) management’s
discussion and analysis of financial results of the Company for the year ended December 31,
2023, (iv) the unaudited condensed interim consolidated financial statements of the
Company as at and for the three and six month periods ended June 30, 2024 together with
the notes thereto, and (v) management’s discussion and analysis of financial results
of the Company for the three and six month periods ended June 30, 2024, contained or
incorporated by reference in the Shelf Prospectus, as supplemented by the Prospectus Supplement,
includes the same information and in all material respects carries the same meaning as the
English language version thereof; |
| (h) | The
Agents shall have received on the Closing Date an opinion of Norton Rose Fulbright Canada
LLP, Canadian counsel for the Company, or certain other Canadian counsel for the Company
reasonably acceptable to the Agents in substantially the form of Annex A-1 hereto including
regarding compliance with all the laws of the Province of Quebec relating to the use of the
French language in connection with the distribution of the Securities, subject to appropriate
limitations and qualifications, dated the Closing Date; the opinion of Norton Rose Fulbright
Canada LLP described in this Section 7(h) shall be rendered to the Agents
at the request of the Company and shall so state therein, provided that such counsel may
rely on opinions of counsel to the Company in jurisdictions where such counsel is not licensed
to practice; |
| (i) | The Agents shall have received on the
Closing Date an opinion of the Vice President – Telecom Policy & Chief Regulatory
Legal Counsel of the Company dated the Closing Date, in substantially the form of Annex B-1
hereto, and a certificate of the Vice President – Telecom Policy & Chief Regulatory
Legal Counsel of the Company dated the Closing Date, in substantially the form of Annex B-2
hereto. Such opinion shall be rendered to the Agents at the request of the Company and shall
so state therein; |
| (j) | On the date hereof and on the Closing
Date, Deloitte LLP shall have furnished to the Agents a letter, dated such date, in form
and substance satisfactory to the Agents, containing statements and information of the type
customarily included in accountants “comfort letters” to underwriters with respect
to the financial statements and certain financial information contained or incorporated by
reference in the Prospectus; |
| (k) | The Agents shall have received on and
as of the Closing Date an opinion of Osler, Hoskin & Harcourt LLP, Canadian counsel
to the Agents, with respect to the validity of the Indenture and the Securities, the Prospectus
and other related matters as the Agents may reasonably request, and such counsel shall have
received such papers and information as they may reasonably request to enable them to pass
upon such matters, provided that such counsel may rely on opinions of counsel to the Company
for jurisdictions where such counsel is not licensed to practice; and |
| (l) | On or prior to the Closing Date, the Company
shall have furnished to the Agents such further certificates and documents as the Agents
shall reasonably request. |
| 8. | The Company agrees to indemnify and hold harmless
each Agent, each affiliate of any Agent which assists such Agent in the distribution of the
Securities and each person, if any, who controls any Agent within the meaning of either Section 15
of the U.S. Securities Act or Section 20 of the Exchange Act, and each of their respective
directors, officers, employees, agents, and affiliates from and against any and all losses
(other than loss of profits), claims, damages and liabilities (including, without limitation,
the legal fees and other expenses incurred in connection with any suit, action or proceeding
or any claim asserted) caused by any untrue statement or alleged untrue statement of a material
fact contained in the Prospectus (as amended or supplemented if the Company shall have furnished
any amendments or supplements thereto) or caused by any omission or alleged omission to state
therein a material fact required to be stated therein or necessary to make the statements
therein not misleading, except insofar as such losses, claims, damages or liabilities are
caused by any untrue statement or omission or alleged untrue statement or omission made in
reliance upon and in conformity with information relating to any Agent furnished to the Company
in writing by such Agent. |
In
no event shall the indemnity provided in this Section 8 enure to the benefit of any person guilty of fraudulent misrepresentation
(within the meaning of Section 11(f) of the U.S. Securities Act) from any person who was not guilty of such fraudulent misrepresentation.
Each Agent agrees, severally and not
jointly, to indemnify and hold harmless the Company, its directors, its officers who signed the Prospectus, each person who controls
the Company within the meaning of Section 15 of the U.S. Securities Act and Section 20 of the Exchange Act, its officers, employees,
agents and affiliates to the same extent as the foregoing indemnity from the Company to each Agent, but only with reference to information
relating to such Agent furnished to the Company in writing by such Agent expressly for use in the Prospectus and any amendment or supplement
thereto.
If
any suit, action, proceeding (including any governmental or regulatory investigation), claim or demand shall be brought or asserted against
any person in respect of which indemnity may be sought pursuant to either of the first or third paragraphs of this Section
8, such person (the “Indemnified Person”) shall promptly notify the person against whom such indemnity may be sought
(the “Indemnifying Person”) in writing, and the Indemnifying Person, upon request of the Indemnified Person, shall
retain counsel reasonably satisfactory to the Indemnified Person to represent the Indemnified Person and any others the Indemnifying
Person may designate in such proceeding and shall pay the fees and expenses of such counsel related to such proceeding and all such fees
and expenses shall be reimbursed as they are incurred. In any such proceeding, any Indemnified Person shall have the right to retain
its own counsel, but the fees and expenses of such counsel shall be at the expense of such Indemnified Person unless (i) the Indemnifying
Person and the Indemnified Person shall have mutually agreed to the contrary, (ii) the Indemnifying Person has failed within a reasonable
time to retain counsel reasonably satisfactory to the Indemnified Person, or (iii) the named parties in any such proceeding (including
any impleaded parties) include both the Indemnifying Person and the Indemnified Person and representation of both parties by the same
counsel would be inappropriate due to actual or potential differing interests between them. It is understood that the Indemnifying Person
shall not, in connection with any proceeding or related proceeding in the same jurisdiction, be liable for the fees and expenses of more
than one separate firm (in addition to any local counsel) for all Indemnified Persons. Any such separate firm for the Agents, each affiliate
of any Agent which assists such Agent in the distribution of the Securities and such control persons of Agents shall be designated in
writing by the first of the named Agents on Schedule II hereto and any such separate firm for the Company, its directors, its officers
who sign the Prospectus and such control persons of the Company or authorized representatives shall be designated in writing by the Company.
The Indemnifying Person shall not be liable for any settlement of any proceeding effected without its written consent, but if settled
with such consent or if there be a final judgment for the plaintiff, the Indemnifying Person agrees to indemnify any Indemnified Person
from and against any loss or liability by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time
an Indemnified Person shall have requested an Indemnifying Person to reimburse the Indemnified Person for fees and expenses of counsel
for which the Indemnified Person is entitled to be reimbursed in accordance with this paragraph, the Indemnifying Person agrees that
it shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement is entered into
more than 30 days after receipt by such Indemnifying Person of the aforesaid request, and (ii) such Indemnifying Person shall not
have reimbursed the Indemnified Person in accordance with such request prior to the date of such settlement. No Indemnifying Person shall,
without the prior written consent of the Indemnified Person, effect any settlement of any pending or threatened proceeding in respect
of which any Indemnified Person is or could have been a party and indemnity could have been sought hereunder by such Indemnified Person,
unless such settlement (i) includes an unconditional release of such Indemnified Person from all liability on claims that are the
subject matter of such proceeding, and (ii) does not include a statement as to or an admission of fault, culpability or a failure
to act by or on behalf of any Indemnified Person.
If
the indemnification provided for in the first and third paragraphs of this Section 8 is unavailable to an Indemnified Person
or insufficient in respect of any losses, claims, damages or liabilities referred to therein, then each Indemnifying Person under such
paragraph, in lieu of indemnifying such Indemnified Person thereunder, shall contribute to the amount paid or payable by such Indemnified
Person as a result of such losses, claims, damages or liabilities (i) in such proportion as is appropriate to reflect the relative
benefits received by the Company on the one hand and the Agents on the other hand from the offering of the Securities, or (ii) if
the allocation provided by clause (i) above is not permitted by applicable law, in such proportion as is appropriate to reflect
not only the relative benefits referred to in clause (i) above but also the relative fault of the Company on the one hand and the
Agents on the other in connection with the statements or omissions that resulted in such losses, claims, damages or liabilities, as well
as any other relevant equitable considerations. The relative benefits received by the Company on the one hand and the Agents on the other
shall be deemed to be in the same respective proportions as the net proceeds from the offering of such Securities (before deducting expenses)
received by the Company and the aggregate fee payable by the Company to the Agents bear to the aggregate public offering price of the
Securities. The relative fault of the Company on the one hand and the Agents on the other shall be determined by reference to, among
other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material
fact relates to information supplied by the Company or by the Agents and the parties’ relative intent, knowledge, access to information
and opportunity to correct or prevent such statement or omission.
The
Company and the Agents agree that it would not be just and equitable if contribution pursuant to this Section 8 were determined
by pro rata allocation (even if the Agents were treated as one entity for such purpose) or by any other method of allocation that
does not take account of the equitable considerations referred to in the immediately preceding paragraph. The amount paid or payable
by an Indemnified Person as a result of the losses, claims, damages and liabilities referred to in the immediately preceding paragraph
shall be deemed to include, subject to the limitations set forth above, any legal or other expenses incurred by such Indemnified Person
in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this Section 8, in no
event shall an Agent be required to contribute any amount in excess of such aggregate fee or any portion of such fee actually received.
No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the U.S. Securities Act) shall be
entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. The Agents’ obligations to contribute
pursuant to this Section 8 are several in the percentages set forth opposite their names in Schedule II hereto, and not joint.
The
remedies provided for in this Section 8 are not exclusive and shall not limit any rights or remedies which may otherwise
be available to any Indemnified Person at law or in equity.
The
indemnity and contribution agreements contained in this Section 8 and the representations and warranties of the Company
set forth in this Agreement shall remain operative and in full force and effect regardless of (i) any termination of this Agreement,
(ii) any investigation made by or on behalf of any Agent or any person controlling any Agent or by or on behalf of the Company,
its officers or directors or any other person controlling the Company, and (iii) acceptance of and payment for any of the Securities.
| 9. | Notwithstanding anything herein contained,
any Agent (each, a “Terminating Agent”) may, in its absolute discretion,
terminate its obligations under this Agreement, by notice given to the Company and the Representatives
(or, if the Terminating Agent is one of the Representatives, to the Company and the other
Representatives), if (a) after the execution and delivery of this Agreement and prior
to the Closing Date (i) trading generally shall have been suspended or materially limited
on or by, as the case may be, either of the New York Stock Exchange or the Toronto Stock
Exchange, (ii) trading of any securities of or guaranteed by the Company shall have
been suspended on any exchange or in any over-the-counter market, (iii) a general moratorium
on commercial banking activities in New York shall have been declared by either Federal or
New York State authorities or in Canada by the Canadian federal or provincial authorities,
or there shall have occurred a material disruption in commercial banking or securities settlement
or clearance services, in Canada or the United States, (iv) there shall have occurred,
developed or come into effect any event, action, state, condition, or major financial occurrence
of national or international consequence or any law or regulation, any outbreak or escalation
of hostilities or any change in financial markets or any calamity or crisis, including as
result of COVID- 19 only to the extent that there are material adverse developments related
thereto after the date of this Agreement, that, in the judgment of that Terminating Agent
is material and adverse to the financial markets in Canada or the United States or (v) there
shall have occurred a Material Adverse Effect and (b) the occurrence of any of the events
specified in clauses (a)(i) through (v) above makes it, in the judgment of that
Terminating Agent impracticable to market the Securities on the terms and in the manner contemplated
in the Prospectus, or to enforce contracts for the sale of the Securities. |
The
rights of termination contained in this Section 9 may be exercised by any of the Agents and are in addition to any other
rights or remedies any of the Agents may have in respect of any default, act or failure to act or non-compliance by the Company in respect
of any of the matters contemplated by this Agreement or otherwise. In the event of any such termination, there shall be no further liability
on the part of the Terminating Agent to the Company or on the part of the Company to the Terminating Agent except in respect of any liability
which may have arisen prior to or arise after such termination under Sections 8 and 10 (and, for clarity, the Terminating Agent will
not be entitled to any portion of the fee payable by the Company pursuant to Section 3). A notice of termination given by an Agent
under this Section 9 shall not be binding upon any other Agent.
Upon
the delivery of a notice of termination by a Terminating Agent under this Section 9, the Company may, in its absolute discretion,
proceed with the sale of Securities in accordance with the terms of this Agreement with the remaining Agents or terminate this Agreement.
| 10. | If this Agreement shall be terminated by the
Agents, or any of them, because of any failure or refusal on the part of the Company to comply
with the terms or to fulfill any of the conditions of this Agreement, or if for any reason
the Company shall be unable to perform its obligations under this Agreement or any condition
of the Agents’ obligations cannot be fulfilled, the Company agrees to reimburse the
Agents or such Agents as have so terminated this Agreement with respect to themselves, severally,
for all out-of-pocket expenses (including the fees and expenses of their counsel) reasonably
incurred by such Agents in connection with this Agreement or the offering of Securities.
The Agents or such Agents as have so terminated this Agreement will provide the Company with
invoices in respect of any such out-of-pocket expenses to be reimbursed. |
| 11. | This
Agreement shall enure to the benefit of and be binding upon the Company, and each Agent,
and to the extent provided for in Section 8, each person referred to in such
section, and in each case, their respective successors and assigns. Nothing expressed or
mentioned in this Agreement is intended or shall be construed to give any other person, firm
or corporation any legal or equitable right, remedy or claim under or in respect of this
Agreement or any provision herein contained. |
| 12. | CIBC is hereby authorized
by each of the other Agents to act on its behalf and the Company shall be entitled to and
shall act on any notice given in accordance with this Section 12 or agreement entered
into by or on behalf of the Agents by CIBC which represents and warrants
that it has irrevocable authority to bind the Agents, except in respect of any consent to
a settlement pursuant to Section 8, which consent
shall be given by the Indemnified Person, or a notice of termination pursuant to Section
9, which notice may be given by any of the Agents. CIBC shall consult with the other Agents
concerning any matter in respect of which it acts as representative of the Agents. All notices
and other communications hereunder shall be in writing and shall be deemed to have been duly
given if mailed or transmitted by any standard form of telecommunication. Notices to the
Agents shall be given on their behalf to: CIBC World Markets Inc., 161 Bay Street –
5th Floor, Toronto, Ontario, M5J 2S8 (email: Sean.Gilbert@cibc.com). Notices to
the Company shall be given to it at 510 W. Georgia St., 23rd Floor, Vancouver,
British Columbia V6B 0M3, Attention: Senior Vice-President and Treasurer (email: treasury@telus.com). |
| 13. | (a) In
the event that any Agent that is a Covered Entity (as defined below) becomes subject to a
proceeding under a U.S. Special Resolution Regime (as defined below), the transfer from such
Agent of this Agreement, and any interest and obligation in or under this Agreement, will
be effective to the same extent as the transfer would be effective under the U.S. Special
Resolution Regime if this Agreement, and any interest and obligation in or under this Agreement,
were governed by the laws of the United States or a state of the United States. |
(b) In
the event that any Agent that is a Covered Entity or a Covered Affiliate (as defined below) of any such Agent becomes subject to a proceeding
under a U.S. Special Resolution Regime, Default Rights (as defined below) under this Agreement that may be exercised against such Agent
are permitted to be exercised to no greater extent than such Default Rights could be exercised under the U.S. Special Resolution Regime
if this Agreement were governed by the laws of the United States or a state of the United States.
| (c) | As used in this Section: |
| (i) | “Covered Affiliate” has the
meaning assigned to the term “affiliate” in, and shall be interpreted in accordance
with, 12 U.S.C. § 1841(k). |
| (ii) | “Covered Entity” means any
of the following: |
| (A) | a “covered entity” as that
term is defined in, and interpreted in accordance with, 12 C.F.R. § 252.82(b); |
| (B) | a “covered bank” as that term
is defined in, and interpreted in accordance with, 12 C.F.R. § 47.3(b); or |
| (C) | a “covered FSI” as that term
is defined in, and interpreted in accordance with, 12 C.F.R. § 382.2(b). |
| (iii) | “Default Right” has the meaning
assigned to that term in, and shall be interpreted in accordance with, 12 C.F.R. §§
252.81, 47.2 or 382.1, as applicable. |
| (iv) | “U.S. Special Resolution Regime”
means each of (i) the U.S. Federal Deposit Insurance Act and the regulations promulgated
thereunder and (ii) Title II of the U.S. Dodd-Frank Wall Street Reform and Consumer
Protection Act and the regulations promulgated thereunder. |
| 14. | This Agreement may be executed in counterparts
and delivered by facsimile or other electronically transmitted format, each of which shall
be deemed to be an original and all of which together shall constitute one and the same instrument. |
| 15. | This Agreement shall be governed by and construed
in accordance with the laws of the Province of Ontario, without giving effect to the conflicts
of laws provisions thereof. |
[Remainder of this page intentionally
left blank]
|
Very truly yours, |
| |
|
|
TELUS CORPORATION |
| |
|
| |
By: |
"Doug French" |
| |
|
Name: Doug French |
| |
|
Title: Executive Vice-President
and Chief Financial Officer |
| |
|
|
|
By: |
"Andrea
Wood" |
| |
|
Name: Andrea Wood |
| |
|
Title: Executive Vice-President
and Chief Legal and Governance Officer |
EXECUTION PAGE –
AGENCY AGREEMENT
| Accepted: August 8, 2024. |
|
| |
|
|
| BMO NESBITT BURNS INC. |
|
| |
|
| By: |
"Kris
Somers" |
|
| |
Name: Kris Somers |
|
| |
Title: Managing Director |
|
| |
|
|
| CIBC WORLD MARKETS INC. |
|
| |
|
| By: |
"Sean
Gilbert" |
|
| |
Name: Sean Gilbert |
|
| |
Title: Managing Director |
|
| |
|
|
| RBC DOMINION SECURITIES INC. |
|
| |
|
| By: |
"Patrick
MacDonald" |
|
| |
Name: Patrick MacDonald |
|
| |
Title: Managing Director |
|
| |
|
|
| SCOTIA CAPITAL INC. |
|
| |
|
| By: |
"Michal
Cegielski" |
|
| |
Name: Michal Cegielski |
|
| |
Title: Managing Director |
|
| |
|
|
| TD SECURITIES INC. |
|
| |
|
| By: |
"Abeed
Ramji" |
|
| |
Name: Abeed Ramji |
|
| |
Title: Managing Director |
|
| |
|
|
| DESJARDINS SECURITIES INC. |
|
| |
|
| By: |
"Ryan
Godfrey" |
|
| |
Name: Ryan Godfrey |
|
| |
Title: Managing Director |
|
EXECUTION
PAGE – AGENCY AGREEMENT
| J.P. MORGAN SECURITIES CANADA INC. |
|
| |
|
|
| By: |
"Adeel
Kheraj" |
|
| |
Name: Adeel Kheraj |
|
| |
Title: Executive Director |
|
| |
|
|
| NATIONAL BANK FINANCIAL INC. |
|
| |
|
| By: |
"John
Carrique" |
|
| |
Name: John Carrique |
|
| |
Title: Managing Director |
|
| |
|
|
| WELLS FARGO SECURITIES CANADA, LTD. |
|
| |
|
|
| By: |
"Jamie
McKeown" |
|
| |
Name: Jamie McKeown |
|
| |
Title: Executive Director |
|
| |
|
|
| SMBC NIKKO SECURITIES CANADA, LTD. |
|
| |
|
|
| By: |
"David
Kee" |
|
| |
Name: David Kee |
|
| |
Title: Chief Executive Officer |
|
| |
|
|
| ATB SECURITIES INC. |
|
| |
|
| By: |
"Andrew
Becker" |
|
| |
Name: Andrew Becker |
|
| |
Title: Managing Director |
|
EXECUTION PAGE –
AGENCY AGREEMENT
| SCHEDULE
I |
| SERIES CAQ NOTES |
|
| |
|
| Title of Securities: |
4.65% Notes, Series CAQ due August 13, 2031
(the “Series CAQ Notes”). |
| |
|
| Aggregate principal amount: |
Cdn. $700,000,000 |
| |
|
| Price to Public: |
Cdn. $999.11 per Cdn. $1,000 principal amount of Series
CAQ Notes. |
| Indenture: |
Indenture dated as of May 22, 2001 between the Company and
Computershare Trust Company of Canada (formerly Montreal Trust Company
of Canada) as Trustee, as supplemented by the First Series Supplemental Indenture dated as of
May 30, 2001, the Second Series Supplemental Indenture dated as of May 30, 2001, the Third Series Supplemental
Indenture dated as of May 30, 2001, the Fourth Series Supplemental Indenture dated as of May 18, 2006, the Fifth
Series Supplemental Indenture dated as of March 13, 2007, the Sixth Series Supplemental Indenture
dated as of March
13, 2007, the Seventh Series Supplemental Indenture dated as of April 9,
2008, the Eighth Series Supplemental Indenture dated as of May 20, 2009, the Ninth Series Supplemental Indenture
dated as of December 4, 2009, the Tenth Series Supplemental
Indenture dated as of July 23, 2010, the Eleventh Series Supplemental Indenture dated as of May 25, 2011, the
Twelfth Series Supplemental Indenture dated as of
December 11, 2012, the Thirteenth Series Supplemental Indenture dated as of April 1, 2013, the Fourteenth Series
Supplemental Indenture dated as of April 1, 2013, the Fifteenth Series
Supplemental Indenture dated as of November 26, 2013, the Sixteenth
Series Supplemental Indenture dated as of November 26, 2013, the Seventeenth Series Supplemental Indenture dated
as of April 4, 2014, the Eighteenth Series Supplemental Indenture dated as of April
4, 2014, the Nineteenth Series Supplemental Indenture dated as of
September 15, 2014, and the Twentieth Series Supplemental Indenture dated as of September 15, 2014, the
Twenty-First Series Supplemental Indenture in respect of the Series CS Notes dated as of March 27, 2015, the
Twenty-Second Series Supplemental Indenture in respect of the Series CT Notes dated as of March 27, 2015, the
Twenty-Third Series Supplemental Indenture in respect of the Series CU Notes dated as of March 27, 2015, the
Twenty-Fourth Series Supplemental Indenture in respect of the Series CV Notes dated as of December 8, 2015, the
Twenty-Fifth Series Supplemental Indenture in respect of the issuance of additional Series CP Notes dated as of
December 8, 2015, the Twenty-Sixth Series Supplemental Indenture in respect of the CW Notes dated as of March 6,
2017, the Twenty-Seventh Supplemental Indenture dated as of October 1, 2017, the Twenty-Eighth Series Supplemental
Indenture in respect of the Series CX Notes dated as of March 1, 2018, the Twenty-Ninth Series Supplemental
Indenture in respect of the issuance of additional Series CW Notes dated as of March 1, 2018, the Thirtieth
Series Supplemental Indenture in respect of the Series CY Notes dated as of April 3, 2019, the Thirty-First
Series Supplemental Indenture in respect of the Series CZ Notes dated as of July 2, 2019, the Thirty-Second
Series Supplemental Indenture in respect of the Series CAA Notes dated as of December 16, 2019, the Thirty-Third
Series Supplemental Indenture in respect of the Series CAB Notes dated as of December 16, 2019, the Thirty-Fourth
Series Supplemental Indenture in respect of the issuance of additional Series CAB Notes dated as of May 29, 2020,
the Thirty-Fifth Series Supplemental Indenture in respect of the Series CAC Notes dated as of May 29, 2020, the
Thirty-Sixth Series Supplemental Indenture in respect of the Series CAD Notes dated as of October 5, 2020, the
Thirty-Seventh Series Supplemental Indenture in respect of the Series CAE Notes dated as of April 5, 2021, the
Thirty-Eighth Series Supplemental Indenture in respect of the Series CAF Notes dated June 28, 2021, the Thirty-
Ninth Series Supplemental Indenture in respect of the Series CAG Notes dated September 13, 2022, the Fortieth
Series Supplemental Indenture in respect of the Series CAH Notes dated September 13, 2022, the Forty-First
Series Supplemental Indenture in respect of the Series CAI Notes dated September 13, 2022, the Forty-Second
Series Supplemental Indenture in respect of the Series CAJ Notes dated March 28, 2023, the Forty- Third
Supplemental Indenture dated June 15, 2023, the Forty- Fourth Series Supplemental Indenture in respect of the
Series CAK Notes dated September 8, 2023, the Forty-Fifth Series Supplemental Indenture in respect of the
Series CAL Notes dated September 8, 2023, the Forty-Sixth Series Supplemental Indenture in respect of the
Series CAM Notes dated September 8, 2023 and the Forty-Seventh Supplemental Indenture dated January 2, 2024, the
Forty-Eighth Series Supplemental Indenture in respect of the Series CAN Notes dated February 15, 2024, the
Forty-Ninth Series Supplemental Indenture in respect of the Series CAO Notes dated February 15, 2024 and the
Fiftieth Series Supplemental Indenture in respect of the Series CAP Notes dated February 15, 2024 as further
supplemented by a Fifty-First Series Supplemental Indenture to be dated as of August 13, 2024. |
| Maturity: |
The Series CAQ Notes will mature
on August 13, 2031. |
| |
|
| Interest Rate and Payment: |
4.65% per annum, payable
semi-annually in arrears, in equal instalments on February 13 and August 13 of each year, commencing on February 13,
2025. |
| |
|
| Optional Redemption Provisions: |
The Series CAQ Notes may be redeemed to the extent
set forth in the Prospectus. |
| |
|
| Change of Control: |
The Company will be required
to make an offer to repurchase the Series CAQ Notes at a price equal to 101% of their respective outstanding principal amount
plus accrued and unpaid interest to the date of repurchase upon the occurrence of a Change of Control Triggering Event in the manner
and on the terms as set forth in the Prospectus. |
| |
|
| Sinking Fund Provisions: |
None |
| |
|
| Global Note Depositary: |
CDS Clearing and Depository Services Inc. |
| |
|
| Closing Date and Time of Delivery: |
August 13, 2024 at 9:00 a.m., Eastern time |
| |
|
| Closing Location: |
Remotely via electronic transmission of documentation
(such as by use of .pdf) |
| |
|
| SCHEDULE
II |
| |
| Agent |
Series CAQ
Notes |
| BMO Nesbitt Burns Inc. |
18.00% |
| CIBC World Markets Inc. |
18.00% |
| RBC Dominion Securities Inc. |
18.00% |
| Scotia Capital Inc. |
12.50% |
| TD Securities Inc. |
12.50% |
| Desjardins Securities Inc. |
5.00% |
| J.P. Morgan Securities Canada Inc. |
4.00% |
| National Bank Financial Inc. |
4.00% |
| Wells Fargo Securities Canada, Ltd. |
4.00% |
| SMBC Nikko Securities Canada, Ltd. |
3.00% |
| ATB Securities Inc. |
1.00% |
ANNEX A-1
FORM OF OPINION
OF
NORTON ROSE FULBRIGHT
CANADA LLP
1. The
Company is incorporated and existing under the Business Corporations Act (British Columbia) and has the corporate power and capacity
to own, lease and operate its properties and conduct its business as described in the Prospectus.
2. The
Company is qualified or registered to carry on business in each of the Provinces in Canada in which the location of its properties or
the operation of its business makes such qualification or registration necessary, except where the failure to be so qualified or registered
would not have a material adverse effect upon the business of the Company and its subsidiaries, taken as a whole.
3. TCI
is incorporated and existing under the Business Corporations Act (British Columbia) and has the corporate power and capacity to
own, lease and operate its properties and conduct its business as described in the Prospectus.
| 4. | TCI is qualified or registered to carry on
business in each of the Provinces in Canada. |
5. The
authorized share capital of TCI consists of an unlimited number of ordinary shares and an unlimited number of special redeemable subordinate
preferred shares. All of the outstanding ordinary shares in the capital of TCI are registered in the name of the Company. All of the
outstanding special redeemable subordinate preferred shares in the capital of TCI are registered in the name of TELUS Health &
Payment Solutions GP Inc., which is a wholly owned subsidiary of the Company.
6. TELUS
International is incorporated and existing under the Business Corporations Act (British Columbia) and has the corporate power
and capacity to own, lease and operate its properties and conduct its business as described in the Prospectus.
7. There
are no restrictions on the corporate power and capacity of the Company to enter into the Agency Agreement or the Base Indenture as supplemented
by the Fifty-First Series Supplemental Indenture (as so supplemented, the “Indenture”) and carry out its obligations
under the Agency Agreement or the Indenture. The Company has the corporate power and capacity to execute, issue and deliver the 4.65%
Notes Series CAQ due August 13, 2031 (the “Securities”). The execution and delivery of, and the performance
by the Company of its obligations under, the Agency Agreement and the Indenture have been duly authorized by all necessary corporate
action on the part of the Company.
8. Each
of the Agency Agreement, the Base Indenture and the Fifty-First Series Supplemental Indenture has been duly executed by the Company.
9. Each
of the Agency Agreement, the Base Indenture and the Fifty-First Series Supplemental Indenture has been duly delivered by the Company
and constitutes a valid and binding obligation of the Company enforceable against the Company in accordance with its terms.
10. All
corporate actions required to be taken by the Company under the Indenture relating to the authorization and issuance of the Securities
have been complied with or satisfied. The Global Notes have been duly executed by the Company.
11. Assuming
due certification of the Global Notes by the Trustee, the Global Notes have been duly delivered by or on behalf of the Company and the
Securities constitute valid and binding obligations of the Company entitling the holders thereof to the benefits provided to such holders
under the applicable Indenture.
12. The
Indenture and the form and terms of the Securities meet all legal requirements under the Business Corporations Act (Ontario) and,
assuming due certification of the Global Notes by the Trustee, the provisions of such Act have been complied with by the Company in respect
of the issuance, certification and delivery of the Securities.
13. The
Indenture and the form and terms of the Securities meet all legal requirements under the Business Corporations Act (British Columbia)
and, assuming due certification of the Global Notes by the Trustee, the provisions of such Act have been complied with by the Company
in respect of the issuance, certification and delivery of the Securities.
14. The
execution, delivery and performance by the Company of its obligations under the Agency Agreement, the Indenture and the Securities do
not and will not contravene or result in a breach of and do not and will not create a state of facts which, after notice or lapse of
time or both, will result in a breach of, and do not and will not conflict with:
(a) any
applicable law of the Province of Ontario or of the federal laws of Canada applicable therein;
(b) any
resolution of the board of directors (or any committee thereof) or of the shareholders of the Company;
| (c) | any of the agreements or instruments set forth
in a schedule to such opinion; or |
(d) to
the best of our knowledge, any judgment, order or decree of any governmental body, agency or court having jurisdiction over the Company
or TCI,
and no consent, approval, authorization or order
of, or qualification with, any governmental body or agency of the Province of Ontario or of the Government of Canada is required for
the performance by the Company of its obligations under the Agency Agreement, the Indenture or the Securities except such as have been
obtained.
15. The execution, delivery and performance by
the Company of its obligations under the Agency Agreement, the Indenture and the Securities do not and will not contravene or result
in a breach of and do not and will not create a state of facts which, after notice or lapse of time or both, will result in a breach
of, and do not and will not conflict with:
| (a) | any applicable law of the Province of British
Columbia; or |
| (b) | any provision of the notice of articles or
articles of the Company, |
and no consent, approval, authorization or order of, or qualification
with, any governmental body or agency of the Province of British Columbia is required for the performance by the Company of its obligations
under the Agency Agreement, the Indenture or the Securities except such as have been obtained.
16. All
necessary documents have been filed, all requisite proceedings have been taken and all necessary authorizations, approvals, permits and
consents have been obtained by the Company under Canadian Securities Laws to permit the Securities to be offered and sold to the public
in the Qualifying Provinces through persons and companies who are registered in an appropriate category of registration under Canadian
Securities Laws and who have complied with the relevant provisions of such legislation.
17. The
Company is a reporting issuer in each of the Qualifying Provinces and, where applicable, is not on the list of defaulting reporting issuers
or noted in default on the list of reporting issuers maintained by the relevant Qualifying Authorities.
18. To
the best of our knowledge, no order having the effect of ceasing or suspending the distribution of the Securities has been issued by
any Qualifying Authority and no proceeding for that purpose has been initiated or threatened by any Qualifying Authority.
19. Subject
to the limitations, assumptions and qualifications and relying upon the matters set out therein, the statements in the Shelf Prospectus
under the heading “Description of Debt Securities” and the statements in the Prospectus Supplement under the heading “Details
of the Offering”, insofar as they purport to constitute a summary of the terms of the Securities, are accurate and fair summaries
of the matters described therein. Subject to the limitations, assumptions and qualifications therein, the statements in the Prospectus
Supplement under the heading “Certain Canadian Federal Income Tax Considerations” is an accurate and fair summary of the
principal Canadian federal income tax considerations generally applicable to an investment in the Securities and the statements in the
Prospectus Supplement under the heading “Eligibility for Investment” are true and correct.
20. No
stamp duty, registration or documentary taxes, duties or similar charges are payable under the laws of the Province of Ontario or the
federal laws of Canada in connection with the creation, issuance, sale and delivery of the Securities or the authorization, execution,
delivery and performance of the Agency Agreement and the Indenture.
21. No
stamp duty, registration or documentary taxes, duties or similar charges are payable under the laws of the Province of British Columbia
in connection with the creation, issuance, sale and delivery of the Securities or the authorization, execution, delivery and performance
of the Agency Agreement and the Indenture.
22. Assuming
(i) each purchaser of Securities in Québec has received a copy of the Shelf Prospectus and the Prospectus Supplement in the
French language only or a copy of the Shelf Prospectus and the Prospectus Supplement in the French language and a copy of the Shelf Prospectus
and the Prospectus Supplement in the English language; and (ii) all documents incorporated and deemed to be incorporated by reference
into the Shelf Prospectus and the Prospectus Supplement have been translated in the French language and filed with the Autorité
des marchés financiers, all requirements relating to the use of the French language in the Securities Act (Québec)
will have been complied with in connection with the offer and sale of the Securities to purchasers in Québec. No opinion is expressed
on whether the Shelf Prospectus, the Prospectus Supplement and forms of order and confirmation are in compliance with the Charter
of the French Language (Québec).
ANNEX B-1
FORM OF REGULATORY
OPINION
OF THE VICE PRESIDENT
– TELECOM POLICY & CHIEF REGULATORY LEGAL
COUNSEL OF THE COMPANY
1. The
statements in the Company’s Annual Information Form dated February 9, 2024 under the headings “Canadian ownership
and control requirements” and “Regulation”, and the statements in the Company’s management’s discussion
and analysis for the fiscal year ended December 31, 2023 under the headings “Communications industry regulatory developments
and proceedings” and “Regulatory matters”, as modified, supplemented or superseded to the extent that a statement contained
therein is modified, supplemented or superseded by any document incorporated by reference in the Prospectus, insofar as such disclosure
describes or summarizes matters of law, fairly summarizes such matters of law.
2. TCI
and Altima Solutions Limited are the only telecommunications common carriers (as such term is used in the Telecommunications Act and
in accordance with the Ownership Regulations) that are controlled by the Company, and each such company is:
(a) eligible
to operate as a Canadian carrier in Canada, as defined under and in accordance with the Telecommunications Act and the Ownership Regulations;
(b) not
in violation of the prohibition contained in subsection 16(4) of the Telecommunications Act against operating in Canada as a telecommunications
common carrier unless it is eligible under Section 16 of the Telecommunications Act to do so; and
(c) not
controlled by any persons that are not Canadian, in accordance with the meanings ascribed to the term “control” under the
Telecommunications Act and the term “Canadian” under the Ownership Regulations.
3. Not
less than 80% of the members of the board of directors of TCI and Altima Solutions Limited are individual Canadians, as defined under
the Ownership Regulations, and Canadians, as defined under the Ownership Regulations, beneficially own, directly or indirectly, in the
aggregate and otherwise than by way of security only, all of the issued and outstanding voting shares, as defined under the Ownership
Regulations, of each such company.
4. TCI
is the only radiocommunication service provider (as such term is used in the Radiocommunication Regulations) that is controlled by the
Company, and TCI:
(a) is
eligible to hold radio authorizations authorizing the operation in Canada of radio apparatus, as defined under and in accordance with
the Radiocommunication Act and the Radiocommunication Regulations;
(b) is
not in violation of the prohibition contained in subsection 4(1) of the Radiocommunication Act against operating radio apparatus
in Canada, except under and in accordance with a radio authorization issued by the Minister of Innovation, Science and Industry;
(c) is
not controlled by any persons that are not Canadian, in accordance with the meanings ascribed to the term “control” under
the Telecommunications Act and the term “Canadian” under the Ownership Regulations; and
(d) is
eligible to be issued a radio authorization under subsection 9(1) of the Radiocommunication Regulations.
| 5. | TCI is Canadian, as defined under the Ownership
Regulations. |
6. The
Company, in respect of its ownership of and control over TCI, is a carrier holding corporation and a qualified corporation, as defined
under the Ownership Regulations.
7. Except
as disclosed in the Prospectus, to the best of such counsel’s knowledge, there is no proposed or announced change in the Telecommunications
Act, Radiocommunication Act, Ownership Regulations, Radiocommunication Regulations, Broadcasting Act or the CRTC Direction which would
have a Material Adverse Effect.
8. TCI
is the only holder of licenses to operate broadcasting undertakings (as such term is used in the Broadcasting Act), and it is:
(a) eligible
to hold broadcasting licenses authorizing the operation in Canada of distribution and programming undertakings, as defined under and
in accordance with the Broadcasting Act;
| (b) | not in violation of the prohibition contained
in subsection 32(1) of the Broadcasting Act; and |
| (c) | not a non-Canadian (as that term is defined
in the CRTC Direction). |
ANNEX B-2
FORM OF REGULATORY
CERTIFICATE
OF THE VICE PRESIDENT
– TELECOM POLICY & CHIEF REGULATORY LEGAL
COUNSEL OF THE
COMPANY
1. To
the best of such counsel’s knowledge, there are no legal or governmental investigations or other proceedings pending or threatened
before any court or before or by any federal, provincial, state, municipal or other governmental or public department, commission, board,
agency or body, domestic or foreign (including, without limitation, proceedings, inquiries or investigations of Innovation, Science and
Economic Development Canada, Canadian Heritage, the CRTC or the Bureau, or arising under the Telecommunications Act, the Radiocommunication
Act, the Broadcasting Act or the Competition Act) to which the Company or TCI is a party or to which any of the properties or
assets of the Company or TCI is subject that are required to be described in the Prospectus, that are not so described as required or
any statutes, including any statutes relating to the regulation of the Canadian telecommunications, radiocommunications and broadcasting
industries (including for this purpose the orders, rules, regulations, directives, decisions, notices and policies promulgated pursuant
to any applicable statutes or regulations specifically relating to the regulation of the Canadian telecommunications, radiocommunications
and broadcasting industries and the orders, rules, regulations, directives, decisions, notices and policies promulgated thereunder),
regulations, contracts or other documents that are required to be described in the Prospectus that are not described as required.
2. To
the best of such counsel’s knowledge, each of the Company and its subsidiaries owns, possesses or has obtained all licenses, permits,
certificates, consents, orders, approvals, waivers, registrations, and other authorizations from, and has made all declarations and filings
with, all federal, provincial and other governmental authorities, all self-regulatory organizations and all courts and other tribunals,
necessary to own or lease, as the case may be, and to operate its properties and to carry on its business as conducted as of the date
hereof except where any failure to possess or obtain any such licenses, permits or other documents described in this paragraph or to
make any such declaration or filing, or to fulfill any condition to an authorization would not, singly or in the aggregate, have a Material
Adverse Effect, and neither the Company nor TCI has received any actual notice of any proceeding relating to revocation or modification
of any such license, permit, certificate, consent, order, waiver, registration, approval or other authorization, except as described
in the Prospectus or except where any revocation or modification would not, singly or in the aggregate, have a Material Adverse Effect;
and each of the Company and TCI is in compliance with all laws and regulations relating to the conduct of its business as conducted as
of the date hereof except where any non-compliance would not, singly or in the aggregate, have a Material Adverse Effect.
3. To
the best of such counsel’s knowledge, neither the Company nor TCI is in violation of, or in default in any respect under, any judgment,
decree, decision, order, writ, law, statute, rule or regulation rendered or enacted in Canada respecting telecommunications and
the regulation within Canada of telecommunications common carriers, as defined in the Telecommunications Act, respecting radiocommunication
and the operation within Canada of radio apparatus, as defined in the Radiocommunication Act or respecting broadcasting and the regulation
within Canada of broadcasting undertakings, as defined in the Broadcasting Act, applicable to the Company or its subsidiaries,
or any interpretation or policy relating thereto that is applicable to the Company or its subsidiaries except where the consequence of
such violations or defaults would not have a Material Adverse Effect; the conduct of the Company’s and its subsidiaries’
businesses in the manner and to the extent currently conducted and proposed to be conducted, as described in the Prospectus, is in accordance
with all material conditions and/or provisions of the Licenses and the Communications Statutes except where the consequence of any non-compliance
would not, singly or in the aggregate, have a Material Adverse Effect; and no event has occurred which permits, or with notice or lapse
of time or both, would permit the revocation or termination of any of the Licenses or which might result in any other material impairment
of the rights of the Company and TCI therein or in any material violation of the Communications Statutes except where any revocation
or modification would not, singly or in the aggregate, have a Material Adverse Effect.
4. To
the best of such counsel’s knowledge, when required, the Company and TCI have timely filed all renewal applications with respect
to all Licenses held by any of them, except where the failure so to file would not result in a Material Adverse Effect; no protests or
competing applications have been filed with respect to such renewal applications and nothing has come to the Company’s attention
that would lead it to conclude that such renewal applications will not be granted by the appropriate regulatory agency or body in the
ordinary course or that its Licenses will be terminated, except where the consequence of such applications not being granted or termination
of Licenses would not, singly or in the aggregate, have a Material Adverse Effect; and the Company and its subsidiaries are authorized
under the Communications Statutes and the rules and regulations promulgated thereunder to continue to provide the services which
are the subject of such renewal applications during the pendency thereof.
Exhibit 99.2
 |
News Release |
August 8, 2024
TELUS ANNOUNCES NOTE OFFERING
Base shelf prospectus is accessible,
and prospectus supplement will be accessible within two business days, through SEDAR+
4.65% Notes, Series CAQ due August 13, 2031
VANCOUVER, B.C. - TELUS announced today
it has priced $700 million of senior unsecured notes with a 7-year maturity. The notes are offered through a syndicate of agents led by
BMO Capital Markets, CIBC Capital Markets and RBC Capital Markets (the “Lead Agents”). Closing of the offering is expected
to occur on or about August 13, 2024.
The 4.65% notes, Series CAQ, were priced
at $99.911 per $100 principal amount for an effective yield of 4.665% per annum until maturity, and will mature on August 13, 2031.
The net proceeds of this offering will be used
for the repayment of outstanding indebtedness, including the repayment of commercial paper (incurred for general working capital purposes)
and the reduction of cash amounts outstanding under an arm’s length securitization trust under which an affiliate of TELUS is able
to borrow against certain trade receivables and unbilled customer finance receivables (incurred for general working capital purposes),
and for other general corporate purposes.
This media release does not constitute an offer
to sell or the solicitation of an offer to buy the securities in any jurisdiction. The securities being offered have not been approved
or disapproved by any Canadian securities regulatory authority, nor has any authority passed upon the accuracy or adequacy of the short
form base shelf prospectus or the prospectus supplement. The notes have not been registered under the U.S. Securities Act of 1933, as
amended, and no notes are being offered in the United States or to or for the account or benefit of any U.S. person.
The notes are being offered pursuant to a prospectus
supplement to the short form base shelf prospectus of TELUS dated August 2, 2024. The prospectus supplement and the corresponding
short form base shelf prospectus contain important detailed information about the notes. Access to the prospectus supplement and the base
shelf prospectus, and any amendments to the thereto, are provided in accordance with securities legislation relating to the procedures
for providing access to such documents. An electronic or paper copy of the prospectus supplement and corresponding short form base shelf
prospectus relating to the offering of notes may be obtained, without charge, from the Executive Vice- President and Chief Legal and Governance
Officer of TELUS at 510 W. Georgia St., 23rd Floor, Vancouver, British Columbia V6B 0M3 (telephone 604-695-6420) or from BMO
Capital Markets by email at DCMCADSyndicateDesk@bmo.com, CIBC Capital Markets by phone at 416-594-8515 or email at Mailbox.CIBCDebtSyndication@cibc.com
or RBC Capital Markets by phone at 416-842-6311 or email at TorontoSyndicate@rbccm.com by providing an email address or mailing address,
as applicable. Copies of these documents will be accessible electronically within two business days of the date hereof on the System for
Electronic Data Analysis and Retrieval+ of the Canadian Securities Administrators (“SEDAR+”), at www.sedarplus.ca.
Investors should read the short form base shelf prospectus and prospectus supplement before making an investment decision.
Forward-Looking Statements
This news release contains statements about future
events pertaining to the offering, including the anticipated closing date of the offering and the intended use of the net proceeds of
the offering. By their nature, forward-looking statements require us to make assumptions and predictions and are subject to inherent risks
and uncertainties including risks associated with capital and debt markets. There is significant risk that the forward-looking statements
will not prove to be accurate. The timing and closing of the above-mentioned offering are subject to customary closing conditions and
other risks and uncertainties. Readers are cautioned not to place undue reliance on forward-looking statements as a number of factors
could cause actual future performance and events to differ materially from those described in the forward- looking statements. Accordingly,
this news release is subject to the disclaimer and the qualifications and risk factors as set out in our 2023 annual management’s
discussion and analysis (MD&A), our MD&A for the three-month and six-month periods ended June 30, 2024 and in other TELUS
public disclosure documents and filings with securities commissions in Canada (on SEDAR+ at sedarplus.ca) and in the United States (on
EDGAR at sec.gov). The forward-looking statements contained in this news release describe our expectations at the date of this news release
and, accordingly, are subject to change after such date. Except as required by law, TELUS disclaims any intention or obligation to update
or revise forward-looking statements.
About TELUS
TELUS (TSX: T, NYSE: TU) is a dynamic, world-leading
communications technology company with more than $20 billion in annual revenue and over 19 million customer connections spanning wireless,
data, IP, voice, television, entertainment, video, and security. Our social purpose is to leverage our global-leading technology
and compassion to drive social change and enable remarkable human outcomes. Our longstanding commitment to putting our customers first
fuels every aspect of our business, making us a distinct leader in customer service excellence and loyalty. The numerous, sustained accolades
TELUS has earned over the years from independent, industry-leading network insight firms showcase the strength and speed of TELUS’
global-leading networks, reinforcing our commitment to provide Canadians with access to superior technology that connects us to the people,
resources and information that make our lives better.
Operating in 32 countries around the world, TELUS
Digital Experience (TSX and NYSE: TIXT) is a leading digital customer experience innovator that designs, builds, and delivers next-generation
solutions, including AI and content moderation, for global and disruptive brands across strategic industry verticals, including tech and
games, communications and media, eCommerce and fintech, banking, financial services and insurance, healthcare, and others.
TELUS Health is a global healthcare leader, which
provides employee and family primary and preventive healthcare and wellbeing solutions. Our TELUS team, along with our 100,000 health
professionals, are leveraging the combination of TELUS’ strong digital and data analytics capabilities with our unsurpassed client
service to dramatically improve remedial, preventive and mental health outcomes covering over 75 million lives, and growing, around the
world. As the largest provider of digital solutions and digital insights of its kind, TELUS Agriculture & Consumer Goods enables
efficient and sustainable production from seed to store, helping improve the safety and quality of food and other goods in a way that
is traceable to end consumers.
Driven by our determination and vision to connect
all citizens for good, our deeply meaningful and enduring philosophy to give where we live has inspired TELUS and our team to contribute
$1.7 billion, including 2.2 million days of service since 2000. This unprecedented generosity and unparalleled volunteerism have made
TELUS the most giving company in the world. Together, let’s make the future friendly.
For more information
about TELUS, please visit telus.com, follow us at @TELUSNews on X and @Darren_Entwistle on Instagram
Investor Relations
Bill Zhang
(778) 917-3811
ir@telus.com
Media Relations
Steve Beisswanger
(514) 865-2787
Steve.Beisswanger@telus.com
Exhibit 99.3
TELUS CORPORATION
as Issuer
and
COMPUTERSHARE TRUST COMPANY OF CANADA
as Indenture Trustee
FIFTY-FIRST SERIES SUPPLEMENT
Dated as of August 13, 2024
Supplementing the Trust Indenture dated
as of May 22, 2001
between TELUS Corporation,
as Issuer and
Computershare Trust Company
of Canada, as Indenture Trustee,
and providing for the issue
of
4.65% Notes, Series CAQ due August 13, 2031
in
the aggregate principal amount of $700,000,000
TABLE OF CONTENTS
| Article One Interpretation |
1 |
| |
|
| 1.01 |
To be Read with Indenture; Governing Law |
1 |
| |
|
|
| 1.02 |
Definitions |
1 |
| |
|
|
| 1.03 |
Conflict Between Series Supplement and Indenture |
4 |
| |
|
|
| 1.04 |
Interpretation Provisions in Indenture |
4 |
| |
|
|
| 1.05 |
Exhibits |
4 |
| |
|
|
| Article Two Debt Securities |
4 |
| |
|
| 2.01 |
Creation and Designation |
4 |
| |
|
|
| 2.02 |
Limitation on Aggregate Principal Amount |
5 |
| |
|
|
| 2.03 |
Currency |
5 |
| |
|
|
| 2.04 |
Denominations |
5 |
| |
|
|
| 2.05 |
Date and Stated Maturity |
5 |
| |
|
|
| 2.06 |
Interest |
5 |
| |
|
|
| 2.07 |
Additional Amounts |
6 |
| |
|
|
| 2.08 |
Redemption and Purchase |
7 |
| |
|
|
| 2.09 |
Sinking Fund |
8 |
| |
|
|
| 2.10 |
Defeasance |
8 |
| |
|
|
| 2.11 |
Form and Certification |
9 |
| |
|
|
| 2.12 |
Identification |
9 |
| |
|
|
| 2.13 |
Non-Business Days |
9 |
| |
|
|
| Article Three Covenants With Respect To The Notes |
9 |
| |
|
| 3.01 |
Negative Covenants in the Indenture |
9 |
| |
|
|
| 3.02 |
Additional Negative Covenants |
9 |
| |
|
|
| Article Four Miscellaneous Provisions |
11 |
| |
|
| 4.01 |
Confirmation of Indenture |
11 |
| |
|
|
| 4.02 |
Acceptance of Trusts |
11 |
| |
|
|
| 4.03 |
Counterparts and Formal Date |
11 |
| |
|
|
| Article Five Additional Covenant With Respect to the Notes — Offer to Repurchase Notes |
11 |
| |
|
| 5.01 |
Offer to Repurchase Notes on Change of Control Triggering Event |
11 |
| |
|
|
| Exhibit A To Fifty-First Series Supplement |
A-1 |
THIS IS THE FIFTY-FIRST
SERIES SUPPLEMENT dated as of August 13, 2024
BETWEEN:
TELUS
CORPORATION, in its capacity as Issuer
- and-
COMPUTERSHARE
TRUST COMPANY OF CANADA, a trust company under the laws of Canada, in its capacity as Indenture Trustee
WHEREAS
the Issuer and the Indenture Trustee have entered into a trust indenture dated as of May 22, 2001 (the “Base
Indenture”), as supplemented by the forty-seventh supplement to the Base Indenture, dated January 2, 2024 between the Issuer
and the Indenture Trustee (together, with the Base Indenture, the "Indenture");
AND
WHEREAS pursuant to Section 2.02 of the Base Indenture, the Issuer may from time to time create and issue one or more
new Series of Debt Securities, subject to the satisfaction of certain conditions set forth in the Indenture and in the related Series Supplement;
AND
WHEREAS the Principal Terms of any new Series of Debt Securities are to be set forth in a Series Supplement, which
supplements the Indenture in relation to such Series;
AND
WHEREAS this Series Supplement relates to the Series of Debt Securities to be designated as 4.65% Notes, Series CAQ
due August 13, 2031 and the Issuer and the Indenture Trustee are entering into this Series Supplement in order to establish
the Principal Terms of such Series and to provide for the issuance of such Series.
NOW
THEREFORE THIS SERIES SUPPLEMENT WITNESSES and it is hereby covenanted, agreed and declared as follows:
ARTICLE ONE
INTERPRETATION
1.01 To
be Read with Indenture; Governing Law
This Series Supplement is supplemental to
the Indenture, and the Indenture and this Series Supplement shall hereafter be read together and shall have effect, so far as practicable,
with respect to the 4.65% Notes, Series CAQ due August 13, 2031 as if all the provisions of the Indenture and this Series Supplement
were contained in one instrument, which instrument shall be governed by and construed in accordance with the laws of the Province of Ontario,
and the federal laws of Canada applicable in such Province. The parties hereto expressly request and require that this document be drawn
up in English. Les parties aux présentes conviennent et exigent que cette entente et tous les documents qui s’y rattachent
soient rédigés en anglais.
1.02 Definitions
| (1) | All capitalized terms used but not defined in this Series Supplement shall have the meanings specified
in the Indenture except that for the purpose, and only for the purpose, of this Series Supplement and the Notes: |
| (a) | clause (dd) of the definition of “Permitted Liens” is amended to read as follows: |
(dd) any other Liens not otherwise qualifying as a Permitted
Lien under the preceding clauses of this definition provided that, at the applicable time, the sum of (without duplication) (x) the aggregate principal
amount of the Indebtedness secured by all such other Liens, plus (y) the Attributable Debt determined at such time of the then outstanding
Unrestricted Sale and Lease-Back Transactions to which the Issuer or a Restricted Subsidiary is a party, plus (z) the then outstanding
principal amount of all Restricted Indebtedness of the Restricted Subsidiaries, does not exceed 15% of the then applicable Consolidated
Net Tangible Assets.
| (b) | the definition of the term “Unrestricted Sale and Lease-Back Transaction” is amended to read
as follows: |
“Unrestricted
Sale and Lease-Back Transaction” shall have the meaning specified in paragraph 3.02(b)(ii) of this Series Supplement.
| (c) | the definition of the term “Restricted Subsidiary” is amended to read as follows: |
“Restricted Subsidiary”
shall mean (a) TELUS Communications Inc., (b) TELUS International (Cda) Inc., and (c) at any time any other Subsidiary
of the Issuer if, at the end of the most recent fiscal quarter for which the Issuer has issued its financial statements, the total assets
of such Subsidiary exceeded 10% of the consolidated assets of the Issuer and its Subsidiaries, determined in accordance with Canadian
generally accepted accounting principles consistently applied.
(2) In
addition, the following terms shall have the following meanings:
“Additional
Amounts” shall have the meaning specified in Section 2.07 of this Series Supplement.
“Change of Control”
shall mean the occurrence of any one of the following: (i) the direct or indirect sale, transfer, conveyance, lease or other disposition
(other than by way of consolidation, amalgamation or merger), in one or a series of related transactions, of all or substantially all
of the property and assets of the Issuer and its Subsidiaries, taken as a whole, to any Person or group of persons acting jointly or in
concert for purposes of such transaction (other than to the Issuer and its Subsidiaries); or (ii) the consummation of any transaction
including, without limitation, any consolidation, amalgamation, merger or issue of voting shares, the result of which is that any Person
or group of persons acting jointly or in concert for purposes of such transaction (other than the Issuer and its Subsidiaries) becomes
the beneficial owner, directly or indirectly, of more than 50% of the voting shares of the Issuer, measured by voting power rather than
number of shares (but shall not include the creation of a holding company or similar transaction that does not involve a change in the
beneficial ownership of the Issuer).
“Change
of Control Offer” shall have the meaning specified in Section 5.01(1) of this Series Supplement.
“Change
of Control Payment” shall have the meaning specified in Section 5.01(1) of this Series Supplement.
“Change
of Control Payment Date” shall have the meaning specified in Section 5.01(2) of this Series Supplement.
“Change of Control Triggering
Event” shall mean the occurrence of both a Change of Control and a Rating Event.
“DBRS” shall mean DBRS Limited.
“Discounted Value” shall mean,
for any Note and any applicable Redemption Date, an amount equal to the sum of the present values of all remaining scheduled payments
of principal and interest (not including any portion of the payment of interest accrued as of such Redemption Date) from such Redemption
Date to the respective due dates for such payments until June 13, 2031 computed on a semi-annual basis by discounting such payments
(assuming a 365 day year) to the Redemption Date at the Government of Canada Yield, plus 38.5 basis points.
“Government of Canada Yield”
shall mean, with respect to any Note and any applicable Redemption Date, the mid market yield to maturity on the third Business Day (the
“Determination Date”) preceding such Redemption Date, compounded semi-annually, which a non-callable Government of
Canada bond would carry if issued, in Canadian Dollars in Canada, at 100% of its principal amount on such date with a term to maturity
which most closely approximates the remaining term to June 13, 2031 from such Redemption Date as quoted by a dealer selected from
time to time by the Issuer and approved by the Indenture Trustee at noon (Toronto time) on such Determination Date.
“Investment Grade Rating” shall
mean a rating equal to or higher than Baa3 (or the equivalent) by Moody’s, BBB- (or the equivalent) by S&P or BBB (low) (or
the equivalent) by DBRS, or the equivalent investment grade credit rating from any other Specified Rating Agency.
“Moody’s” shall mean Moody’s Investors
Service Inc.
“Notes” shall have
the meaning specified in Section 2.01 of this Series Supplement.
“Permitted Indebtedness” of the Restricted Subsidiaries
shall mean:
| (a) | Indebtedness of the Restricted Subsidiaries from time to time secured by Liens constituting Permitted
Liens under any of clauses (a) to (cc) inclusive of the definition of Permitted Liens; |
| (b) | Indebtedness (excluding Indebtedness outstanding under commercial paper programs) of the Restricted Subsidiaries
existing on the date of this Series Supplement and, in the case of any Person which is not a Restricted Subsidiary on the date of
this Series Supplement or which ceases to be a Restricted Subsidiary after the date of this Series Supplement, at the time such
Person becomes, or again becomes, as the case may be, a Restricted Subsidiary; |
| (c) | Indebtedness of a Restricted Subsidiary owing to the Issuer or to another Restricted Subsidiary; |
| (d) | commercial paper issued from time to time by any one or more of the Restricted Subsidiaries in a principal
amount of up to $1,000,000,000 (or the Equivalent Amount in any other currency or currencies); and |
| (e) | any extension, renewal or replacement (including successive extensions, renewals or replacements), in
whole or in part, of any Indebtedness of the Restricted Subsidiaries referred to in any of the preceding clauses of this definition (provided
that the principal amount of such Indebtedness immediately prior to such extension, renewal or replacement is not increased). |
“Rating Event” shall
mean the rating on the Notes is lowered to below an Investment Grade Rating by at least two out of three of the Specified Rating Agencies
if there are three Specified Rating Agencies or all of the Specified Rating Agencies if there are less than three Specified Rating Agencies
(the “Required Threshold”) on any day within the 60-day period (which 60-day period will be extended so long as the
rating of the Notes is under publicly announced consideration for a possible downgrade by such number of the Specified Rating Agencies
which, together with Specified Rating Agencies which have already lowered their ratings on the Notes as aforesaid, would aggregate in
number the Required Threshold, but only to the extent that, and for so long as, a Change of Control Triggering Event would result if
such downgrade were to occur) after the earlier of (i) the occurrence of a Change of Control, and (ii) public notice of the
occurrence of a Change of Control or of the Issuer’s intention or agreement to effect a Change of Control.
“Restricted Indebtedness”
of the Restricted Subsidiaries, shall mean at any time, any Indebtedness of the Restricted Subsidiaries which, at such time, is not Permitted
Indebtedness.
“S&P” shall mean
Standard & Poor’s Rating Services, a business unit of S&P Global Canada Corp.
“Specified Rating Agencies”
shall mean each of Moody’s, S&P and DBRS as long as, in each case, it has not ceased to rate the Notes or failed to make a rating
of the Notes publicly available for reasons outside of the Issuer’s control; provided that if one or more of Moody’s, S&P
or DBRS ceases to rate the Notes or fails to make a rating of the Notes publicly available for reasons outside of the Issuer’s control,
the Issuer may select any other “designated rating organization” within the meaning of National Instrument 41-101 of the Canadian
Securities Administrators as a replacement agency for such one or more of them, as the case may be.
“Taxes” shall
have the meaning specified in Section 2.07 of this Series Supplement.
1.03 Conflict
Between Series Supplement and Indenture
If any term or provision contained in this Series Supplement
shall conflict or be inconsistent with any term or provision of the Indenture, the terms and provisions of this Series Supplement
shall govern; provided, however, that the terms and provisions of this Series Supplement may modify or amend the terms of the Indenture
solely as applied to the Notes.
1.04 Interpretation
Provisions in Indenture
This Series Supplement shall, unless the
context otherwise requires, be subject to the interpretation provisions contained in Article One of the Base Indenture.
1.05 Exhibits
Exhibit A to this Series Supplement forms part of this Series Supplement.
ARTICLE TWO
DEBT SECURITIES
2.01 Creation
and Designation
The Issuer is hereby
authorized to issue under the Indenture a Series of Debt Securities designated “4.65% Notes, Series CAQ due August 13,
2031” (the “Notes”) having the terms set forth in this Article Two.
2.02 Limitation
on Aggregate Principal Amount
The aggregate principal amount of the Notes
that may be issued (except for Notes issued upon registration of transfer of, or in exchange for, or in lieu of, other Notes) shall
be initially limited to $700,000,000. The Issuer may, from time to time, without the consent of any existing Holders of the Notes,
create and issue additional Notes hereunder in such additional amounts as the Issuer may determine having the same terms and
conditions as the Notes in all respects, except for such variations to such terms and conditions as may be required, in the
reasonable and good faith opinion of the Issuer, to reflect the different issue dates of such additional Notes and the then existing
Notes and the intention that all such additional Notes and then existing Notes be fungible for trading purposes from the issue date
of such additional Notes (which variations may include, among other things, a different issue date, a different issue price, a
different interest commencement date, a different first interest payment date, a different initial interest period, and a different
interest payment calculation for the initial interest period). Additional Notes so created and issued will be consolidated with and
form a single Series with the then existing Notes and, if the Issuer acting reasonably and in good faith determines that it is
advisable or advantageous to do so, the Issuer may accept such additional Notes and then existing Notes (including any such Notes in
global form held by a Depositary) in exchange for consolidated and restated replacement Notes reflecting the terms and conditions of
such additional Notes and then existing Notes.
2.03 Currency
The Notes shall be denominated in, and all principal
of, and premium, interest and other amounts on the Notes shall be payable in, Canadian Dollars. Unless expressly provided to the contrary
in this Series Supplement, all amounts expressed in this Series Supplement and in each Note in terms of money refer to Canadian
Dollars.
2.04 Denominations
The Notes shall be denominated in integral multiples of $1,000.
2.05 Date
and Stated Maturity
The Series Issuance Date for the Notes shall
be August 13, 2024 and the entire principal amount of the Notes shall become due and payable, together with any accrued and unpaid
interest on the Notes, on August 13, 2031 (such date being the “Stated Maturity” of the outstanding principal
amount of the Notes).
2.06 Interest
| (1) | Interest shall accrue on the aggregate unpaid principal amount of each Note, together, to the extent permitted
by Applicable Law, with interest on overdue interest not paid on an Interest Payment Date for the Notes, as well after as before default
and judgment, from and including the date such Note is issued to but not including the date of the repayment in full of the principal
amount of such Note, at a rate of interest equal to 4.65% per annum. Interest that accrues on a Note for the period from and including
the date such Note is issued to but not including February 13, 2025, shall be payable on the first Interest Payment Date (namely,
February 13, 2025). Interest on a Note that accrues from and including February 13, 2025, subject to any variation to the terms
and conditions of the initial interest payment under any additional Notes, shall be payable in equal semi-annual instalments on each Interest
Payment Date for the Notes and all accrued and unpaid interest on the Notes shall be paid on the Maturity of the Notes. For greater certainty,
interest on the Notes will accrue and be calculated for each applicable period prior to an Interest Payment Date, and will be paid on
each related Interest Payment Date, in the manner necessary to result in (i) the per annum rate of interest during each year of the
term of the Notes being equal to the fixed rate per annum specified above, (ii) interest under the Notes that accrues for the period
from and including August 13, 2024 to but not including February 13, 2025 being paid under the Notes on the first Interest Payment
Date (namely, February 13, 2025) and payable in an aggregate amount equal to $16,275,000 and (iii) interest under the Notes
that accrues from and including February 13, 2025, subject to any variation to the terms and conditions of the initial interest payment
under any additional Notes, being paid under the Notes in equal semi-annual instalments on the related semi-annual Interest Payment Dates. |
| (2) | Interest on the Notes will be computed on the basis of a year of 365 days. |
| (3) | The Interest Payment Dates for the Notes shall be February 13 and August 13 in each year beginning
February 13, 2025. |
| (4) | The Regular Interest Record Dates for the Notes shall be January 29 (with respect to the February 13
Interest Payment Date) and July 29 (with respect to the August 13 Interest Payment Date) in each year. |
2.07 Additional
Amounts
| (1) | All payments made by the Issuer under or with respect to the Notes will be made free and clear of and
without withholding or deduction for or on account of any present or future tax, duty, levy, impost, assessment or other governmental
charge imposed or levied by or on behalf of the Government of Canada or of any province or territory thereof or therein or by any authority
or agency thereof or therein having power to tax (hereinafter “Taxes”) unless the Issuer is required to withhold or
deduct Taxes by Applicable Law or by the interpretation or administration thereof by the relevant Governmental Authority. If the Issuer
is so required to withhold or deduct any amount for or on account of Taxes from any payment made under or with respect to the Notes, the
Issuer will pay such additional amounts (“Additional Amounts”) as may be necessary so that the net amount received
by each holder or beneficial owner (including Additional Amounts) after such withholding or deduction will not be less than the amount
such holder or beneficial owner would have received if such Taxes had not been withheld or deducted; provided that no Additional Amounts
will be payable with respect to: |
| (a) | any payment to a holder or beneficial owner who is liable for such Taxes in respect of such Note (i) by
reason of such holder or beneficial owner being a Person with whom the Issuer is not dealing at arm’s length for the purposes of
the Income Tax Act (Canada); or (ii) by reason of the existence of any present or former connection between such holder or
beneficial owner (or between a fiduciary, settlor, beneficiary, member or shareholder of, or possessor of power over, such holder or beneficial
owner, if such holder or beneficial owner is an estate, trust, partnership, limited liability company or corporation) and Canada or any
province or territory thereof or therein or agency thereof or therein other than the mere acquisition, holding, use or ownership or deemed
holding, use or ownership, or receiving payments or enforcing any rights in respect of such Note as a non-resident or deemed non-resident
of Canada or any province or territory thereof or therein or any agency thereof or therein; |
| (b) | any payment to a holder or beneficial owner in respect of whom such Tax is required to be withheld or
deducted by reason of the holder or beneficial owner being a person (i) who is, or does not deal at arm’s length with any person
who is, a “specified shareholder” (as defined in subsection 18(5) of the Income Tax Act (Canada)) of TELUS; or
(ii) who is an entity in respect of which TELUS is a “specified entity” (as defined in subsection 18.4(1) of the
Income Tax Act (Canada)); |
| (c) | any Note presented for payment more than 30 days after the later of (i) the date on which such payment
first becomes due; or (ii) if the full amount of the monies payable has not been paid to the Holders of the Notes on or prior to
such date, the date on which the full amount of such monies has been paid to the Holders of the Notes, except to the extent that the Holder
of the Notes would have been entitled to such Additional Amounts on presentation of the same for payment on the last day of such period
of 30 days; |
| (d) | any estate, inheritance, gift, sales, transfer, excise or personal property tax or any similar Tax; |
| (e) | any Tax imposed as a result of the failure of a holder or beneficial owner of a Note to comply with certification,
identification, declaration or similar reporting requirements concerning the nationality, residence, identity or connection with Canada
or any province or territory thereof or therein or agency thereof or therein of such holder or beneficial owner, if such compliance is
required by statute or by regulation, as a precondition to reduction of, or exemption, from such Tax; |
| (f) | any Tax which is payable otherwise than by withholding or deduction from any payment made under or with
respect to the Notes; or |
| (g) | any combination of the above items; |
nor will such Additional Amounts be
paid with respect to any payment on any Note to a holder or beneficial owner who is a fiduciary or partnership or other than the sole
beneficial owner of such Note to the extent that a beneficiary or settlor with respect to such fiduciary, or a member of such partnership
or a beneficial owner thereof would not have been entitled to receive a payment of such Additional Amounts had such beneficiary, settlor,
member or beneficial owner received directly its beneficial or distributive share of such payment.
| (2) | Where Tax is payable pursuant to Section 803 of the Income Tax Regulations by a Holder of
the Notes or beneficial owner of the Notes in respect of any amount payable under the Notes to the Holder of the Notes (other than by
reason of a transfer of the Notes to a person resident in Canada with whom the transferor does not deal at arm’s length for the
purposes of the Income Tax Act (Canada)), but no Additional Amount is paid in respect of such Tax, the Issuer will pay to the Holder
of the Notes an amount equal to such Tax within 45 days after receiving from the Holder of the Notes a notice containing reasonable particulars
of the Tax so payable, provided such Holder of the Notes or beneficial owner would have been entitled to receive Additional Amounts on
account of such Tax but for the fact that it is payable otherwise than by deduction or withholding from payments made under or with respect
to the Notes. |
| (3) | At least 30 days prior to each date on which any payment under or with respect to the Notes is due and
payable, if the Issuer to its knowledge will be obligated to pay Additional Amounts with respect to such payment, the Issuer will deliver
to the Indenture Trustee a Certificate of the Issuer stating the fact that such Additional Amounts will be payable and the amounts so
payable and will set forth such other information necessary to enable the Indenture Trustee to pay such Additional Amounts to Holders
of the Notes on the payment date. |
| (4) | Whenever in the Indenture, this Series Supplement or in any Note there is mentioned, in any context,
the payment of principal of, or premium, interest or any other amount on any Note, such mention shall be deemed to include mention of
the payment of Additional Amounts to the extent that, in such context, Additional Amounts are, were or would be payable in respect thereof.
For greater certainty, a default in making any payment of any Additional Amounts when due which default continues for a period of 30 days
shall constitute an Event of Default for the purposes of Section 6.01(b) of the Base Indenture but not for the purpose of Section 6.01(a) of
the Base Indenture. |
| (5) | The obligation to pay Additional Amounts will survive any termination or discharge of the Indenture or
the redemption, repayment or purchase of the Notes. |
2.08 Redemption
and Purchase
| (1) | The Notes may be redeemed, in whole or in part at any time and from time to time prior to June 13,
2031 at the election of the Issuer, upon not less than 10 days' and not more than 60 days’ prior notice, for a Redemption Price
equal to the greater of (a) the Discounted Value for the applicable Redemption Date of the Notes to be redeemed, and (b) the
outstanding principal amount of the Notes to be redeemed. The Notes may be redeemed, in whole, or from time to time, in part, at any time on or after June 13, 2031
at the election of the Issuer, upon not less than 10 days' and not more than 60 days’ prior notice, for a Redemption Price equal
to the outstanding principal amount of the Notes to be redeemed. All accrued and unpaid interest on the outstanding principal amount
of each Note called for redemption shall be paid to the Redemption Date. |
| (2) | Notice of redemption given to the Holders of the Notes pursuant to the Indenture and this Series Supplement
may, at the option of the Issuer, be made subject to conditions and, in such case, such notice of redemption shall specify, in addition
to the requirements of Section 3.01(c) of the Base Indenture, the details and terms of any event (e.g., a financing, asset disposition
or other transaction) on which such redemption is conditional. Notwithstanding Section 3.01(e) and Section 3.01(c)(ii) of
the Base Indenture, upon notice of redemption having been given as specified in this paragraph, the Notes so called for redemption shall
become due and payable at the Redemption Price and on the Redemption Date specified in such notice, in the same manner and with the same
effect as if such date was the Stated Maturity specified herein for the Notes, only upon the fulfillment or discharge of the conditions
stated in such notice to the satisfaction of the Issuer, acting reasonably, or the waiver of such conditions by the Issuer, in whole or
in part, notwithstanding anything to the contrary in the Indenture or this Series Supplement. In addition, notwithstanding anything
to the contrary in the Indenture or this Series Supplement, any notice of redemption given as aforesaid may be revoked at any time
by the Issuer prior to the Redemption Date if the Issuer determines, acting reasonably, that such conditions cannot be satisfied by the
Redemption Date. Such notice of revocation shall be delivered by the Issuer to the Holders of the Notes and the Indenture Trustee. |
| (3) | In addition, the Notes may be redeemed, in whole, but not in part, at any time at the election of the
Issuer for a Redemption Price equal to 100% of the outstanding principal amount of the Notes together with accrued and unpaid interest
thereon to the Redemption Date, if the Issuer delivers to the Indenture Trustee an opinion of independent Canadian tax counsel experienced
in such matters to the effect that the Issuer has become or would become obligated to pay, on the next date on which any amount would
be payable under or with respect to the outstanding Notes, any Additional Amounts as a result of a change in the laws (including any regulations
promulgated thereunder) of Canada, or any province or territory thereof or therein or any agency thereof or therein having the power to
tax, or any change in any official position regarding the application or interpretation of such laws or regulations, which change is announced
or becomes effective on or after the Series Issuance Date; provided that the Issuer determines, in its business judgment, that the
obligation to pay such Additional Amounts cannot be avoided by the use of reasonable measures available to the Issuer (not including substitution
of the obligor under the Notes). |
| (4) | The Notes will not be subject to redemption at the election of the Holders of the Notes. |
The Notes will not be subject to repurchase or redemption pursuant
to any sinking fund.
2.10 Defeasance
The Notes will be subject to Defeasance and Covenant Defeasance as
described in Article Thirteen of the Base Indenture.
2.11 Form and
Certification
| (1) | The Notes shall be (a) in registered form only, (b) issued as one or more Global Debt Securities
held by, or on behalf of, the Depositary in accordance with Section 2.17 of the Base Indenture, (c) registered in the name of the Depositary
or its nominee as provided for in Section 2.17 of the Base Indenture, and (d) substantially in the form set forth in Exhibit A
to this Series Supplement, subject to any modifications as may be reasonably required from time to time by the Depository and which
are not prejudicial to the beneficial holders of the Notes and subject to any modifications
as may be reasonably required from time to time to reflect any variation to the terms and conditions of any additional Notes, or to reflect
the terms and conditions of any replacement Note consolidating and restating additional Notes and then existing Notes, as provided in
Section 2.02 of this Series Supplement. |
| (2) | The form of certification of the Notes by the Indenture Trustee shall be substantially in the form of
the Indenture Trustee’s Certificate set forth in Exhibit A to this Series Supplement. |
2.12 Identification
For the purpose of this Series Supplement and the Notes:
| (a) | the Depositary shall be CDS; |
| (b) | the Registrar, Paying Agent and Transfer Agent shall be the Indenture Trustee; and |
| (c) | the Place of Payment shall be Calgary, Alberta. |
2.13 Non-Business
Days
Notwithstanding Section 1.07 or any other
provision under the Base Indenture, if any Interest Payment Date or the date of Maturity is not a Business Day, such payment will be made
on the next Business Day, and the Holders of such Notes shall not be entitled to any further interest or other payment in respect of such
delay.
ARTICLE THREE
COVENANTS WITH RESPECT TO THE NOTES
3.01 Negative
Covenants in the Indenture
Subsections 5.03(a) and 5.03(c) of the
Base Indenture shall be inapplicable to this Series Supplement and the Notes.
3.02 Additional
Negative Covenants
The Issuer covenants and agrees with the Indenture
Trustee for the benefit of the Holders of the Notes that, so long as the Notes are Outstanding and except as otherwise permitted by the
prior written consent of the Indenture Trustee:
| (a) | Negative Pledge. The Issuer shall not, and shall not permit any Restricted Subsidiary to, directly
or indirectly, create or assume any Lien (other than Permitted Liens) upon any of the present or future Principal Property, or any Property
which, together with any other Property subject to Liens (other than Permitted Liens) in the same transaction or series of related transactions,
would in the aggregate constitute a Principal Property, of the Issuer or a Restricted Subsidiary to secure Indebtedness of the Issuer
or a Restricted Subsidiary unless the Notes (together with, if the Issuer shall so determine, any other indebtedness of the Issuer or
a Restricted Subsidiary ranking at least pari passu with the Notes then existing or thereafter created) shall be concurrently secured
equally and rateably with (or prior to) such Indebtedness so long as such Lien is outstanding. If at any time the Issuer or any Restricted
Subsidiary shall create or assume any Lien to which this subsection is applicable, the Issuer shall promptly deliver to the Indenture
Trustee a Certificate of the Issuer stating that its covenant in this subsection has been complied with. If the Issuer shall hereafter
secure the Notes equally and rateably with (or prior to) any such other Indebtedness pursuant to this subsection, the Indenture Trustee
is hereby authorized to enter into an indenture or agreement supplemental to the Indenture and this Series Supplement and to take
such action, if any, as it may deem advisable to enable the Indenture Trustee to effectively
enforce the rights of the Holders of the Notes so secured equally and rateably with (or prior to) the obligees of such Indebtedness; provided
however that the Indenture Trustee shall not be responsible for filing any financing or continuation statements or recording any documents
or instruments in any public office at any time or times. |
| (b) | Sale and Lease-Back Transactions. The Issuer shall not, and shall not permit any Restricted Subsidiary
to, enter into any Sale and Lease-Back Transaction, except for: |
| (i) | any Sale and Lease-Back Transaction constituting a Permitted Lien under any of clauses (a) to (t) inclusive,
and any of clauses (v) to (cc) inclusive, of the definition of Permitted Liens; or |
| (ii) | any Sale and Lease-Back Transaction that is not otherwise permitted under
paragraphs (i) or (iii) of this subsection and in respect of which the Issuer or such Restricted Subsidiary would, at
the time it enters into such Sale and Lease-Back Transaction, be entitled to create a Lien on the Principal Property (or the properties,
as the case may be) subject to such Sale and Lease-Back Transaction to secure Indebtedness at least equal in amount to the Attributable
Debt in respect of such Sale and Lease-Back Transaction without being required to equally and rateably secure the Notes pursuant to subsection
(a) of this Section (any Sale and Lease-Back Transaction entered into in compliance with this paragraph being an “Unrestricted
Sale and Lease-Back Transaction”); or |
| (iii) | any Sale and Lease-Back Transaction if the Issuer or such Restricted Subsidiary shall apply or cause to
be applied, in the case of a sale or transfer for cash, an amount equal to the greater of the fair market value of the Principal Property
(or the properties, as the case may be) sold or transferred and leased back pursuant to such Sale and Lease-Back Transaction or the net
proceeds of such Sale and Lease-Back Transaction and, in the case of a sale or transfer otherwise than for cash, an amount equal to the
fair market value of the Principal Property (or the properties, as the case may be) sold or transferred and leased back pursuant to such
Sale and Lease-Back Transaction, to (x) the retirement (other than any mandatory retirement), within 180 days after the effective
date of such Sale and Lease-Back Transaction, of Indebtedness of the Issuer (which may but need not include the Debt Securities of any
Series) ranking on a parity with, or prior to, the Notes and owing to a Person other than the Issuer or any Affiliate of the Issuer, or
(y) the purchase, construction or improvement of real property or personal property used by the Issuer or the Restricted Subsidiaries
in the ordinary course of business. |
| (c) | Restricted Subsidiary Indebtedness. The Issuer shall not permit any Restricted Subsidiary to, directly
or indirectly, create, incur or assume any Restricted Indebtedness, unless after giving effect to the incurrence of such Restricted Indebtedness
and the application of the proceeds therefrom, the sum of (without duplication) (x) the aggregate principal amount of Restricted
Indebtedness of all Restricted Subsidiaries at such time, plus (y) the then outstanding principal amount of Indebtedness of the Issuer
at such time secured by Liens (other than any Lien constituting a Permitted Lien under any of clauses (a) to (cc) inclusive of the definition
of Permitted Liens), plus (z) Attributable Debt relating to then outstanding Unrestricted Sale and Lease-Back Transactions of the
Issuer, would not exceed 15% of Consolidated Net Tangible Assets. |
ARTICLE FOUR
MISCELLANEOUS PROVISIONS
4.01 Confirmation
of Indenture
The Indenture, as amended and supplemented by this Series Supplement,
is in all respects confirmed.
4.02 Acceptance
of Trusts
The Indenture Trustee hereby accepts the trusts
in this Series Supplement declared and provided for and agrees to perform the same upon the terms and conditions and subject to the
provisions set forth in the Indenture.
4.03 Counterparts
and Formal Date
This Series Supplement may be executed in
any number of counterparts, and delivered via electronic means (including by way of pdf), each of which so executed and delivered shall
be deemed to be an original, but all of which shall together constitute one and the same instrument and notwithstanding their date of
execution shall be deemed to bear the date set forth on the first page of this Series Supplement.
ARTICLE FIVE
ADDITIONAL COVENANT WITH
RESPECT TO THE NOTES
— OFFER TO REPURCHASE NOTES
| 5.01 | Offer to Repurchase Notes on Change of Control Triggering Event |
| (1) | If a Change of Control Triggering Event occurs, unless the Issuer has exercised
its right to redeem all of the Notes pursuant to Subsection 2.08 of this Series Supplement, the Issuer will be required to
make an offer to repurchase all or, at the Holder’s option, any part (equal to $1,000 or an integral multiple thereof), of each
Holder’s Notes on the terms set forth in this Section 5.01 (the “Change of Control Offer”). In the Change
of Control Offer the Issuer shall be required to offer payment in cash equal to 101% of the outstanding principal amount of Notes together
with accrued and unpaid interest thereon to the date of purchase (the “Change of Control Payment”). |
| (2) | Within 30 days following any Change of Control Triggering Event, the Issuer
shall give written notice to each Holder, with a copy to the Indenture Trustee, describing the transaction or transactions which constitute
the Change of Control Triggering Event and offering to repurchase the Notes on the payment date specified in the notice, which date shall
be no earlier than 30 days and no later than 60 days from the date such notice is given (the “Change of Control Payment Date”),
pursuant to the procedures required by this Section 5.01 and described in such notice. The Issuer shall comply with the requirements
of applicable securities laws and regulations in connection with the repurchase of the Notes as a result of a Change of Control Triggering
Event. To the extent that the provisions of any such applicable securities laws and regulations conflict with the provisions of this Section
5.01, the Issuer shall comply with such laws and regulations and will not be deemed to have breached its obligations under this Section 5.01
to repurchase the Notes by virtue of such conflict. |
| (3) | On the Change of Control Payment Date, the Issuer shall, to the extent lawful: |
| (a) | accept for payment all Notes or portions of Notes properly tendered pursuant to the Change of Control
Offer; |
| (b) | deposit with the Indenture Trustee an amount of money equal to the Change of Control Payment in respect
of all Notes or portions of Notes properly tendered pursuant to the Change of Control Offer; and |
| (c) | deliver or cause to be delivered to the Indenture Trustee the Notes properly accepted, together with a
Certificate of the Issuer stating the aggregate principal amount of the Notes or portions of Notes being purchased by the Issuer. |
| (4) | The Indenture Trustee will promptly pay to each Holder of properly tendered Notes an amount equal to the
Change of Control Payment in respect of such Notes either, at the Indenture Trustee’s option, by mailing (first class mail, postage
prepaid) a cheque to such Holder or by means of a wire transfer in accordance with the applicable payment procedures of CDS, and the Indenture
Trustee will promptly certify and mail (first class mail, postage prepaid) (or cause to be transferred by book-entry) to each such Holder
a new Note equal in principal amount to any unpurchased portion of any Notes surrendered; provided that each new Note will be in a principal
amount of $1,000 and integral multiples of $1,000 in excess thereof. |
| (5) | The Issuer will not be required to make a Change of Control Offer upon a
Change of Control Triggering Event if a third party makes such an offer substantially in the manner, at the times and in compliance with
the requirements for an offer made by the Issuer pursuant to the provisions of this Section 5.01 (and for at least the same
purchase price payable in cash) and such third party purchases all Notes properly tendered and not withdrawn under its offer. |
[Remainder of page intentionally left blank]
IN WITNESS OF
WHICH the Issuer and the Indenture Trustee have caused this Series Supplement to be duly executed by their duly authorized
officers as of the date specified on the first page of this Series Supplement.
| COMPUTERSHARE TRUST COMPANY OF CANADA |
|
TELUS CORPORATION |
|
|
|
|
|
| by: |
/s/ Luci Scholes |
|
by: |
/s/ Doug French |
| |
Name: Luci Scholes |
|
|
Name: |
Doug French |
| |
Title: Corporate Trust Officer |
|
|
Title: |
Executive Vice-President and Chief Financial Officer |
| |
|
|
|
|
|
| by: |
/s/ Corentin Leverrier |
|
by: |
/s/ Mario Mele |
| |
Name: Corentin Leverrier |
|
|
Name: |
Mario Mele |
| |
Title: Manager, Corporate Trust |
|
|
Title: |
Senior Vice-President and Treasurer |
| |
|
|
|
|
|
EXECUTION PAGE – SUPPLEMENTAL INDENTURE
EXHIBIT A TO FIFTY-FIRST SERIES SUPPLEMENT
TELUS CORPORATION
CUSIP No. 87971MCH4
ISIN
No. CA87971MCH49
4.65% Notes, Series CAQ due August 13, 2031
TELUS
Corporation (the “Issuer”) for value received hereby acknowledges itself indebted and promises to pay to the Holder
hereof on presentation and surrender of this 4.65% Note, Series CAQ (the “Note”) at the principal office of Computershare
Trust Company of Canada (the “Indenture Trustee”, which term shall include its successors under the Indenture hereinafter
referred to) in Calgary, Alberta, Canada, the principal amount of ● dollars
in lawful money of Canada ($● ), and to pay interest on the
outstanding principal amount hereof at the same place in like money at the rate of 4.65% per annum, as well after as before maturity,
default and judgment, with interest on overdue interest at the same rate as more particularly specified in the Indenture.
The
outstanding principal amount of this Note is payable in one instalment on August 13, 2031. Interest on this Note that accrues for
the period from and including August 13, 2024, to but not including February 13, 2025 is payable on the first Interest Payment
Date (namely, February 13, 2025) in an aggregate amount equal to $●.
Interest on this Note that accrues from and including February 13, 2025 is payable in equal semi-annual instalments on February 13
and August 13 of each year beginning February 13, 2025. All accrued and unpaid interest on this Note is payable on the Maturity
of this Note.
All payments made by the Issuer under or with
respect to this Note will be made free and clear of and without withholding or deduction for or on account of any present or future tax,
duty, levy, impost, assessment or other governmental charge imposed or levied by or on behalf of the Government of Canada or of any province
or territory thereof or therein or by any authority or agency thereof or therein having power to tax (hereinafter “Taxes”)
unless the Issuer is required to withhold or deduct Taxes by Applicable Law or by the interpretation or administration thereof by the
relevant Governmental Authority. If the Issuer is so required to withhold or deduct any amount for or on account of Taxes from any payment
made under or with respect to the Notes, the Issuer will pay such additional amounts (“Additional Amounts”) as may
be necessary so that the net amount received by each holder or beneficial owner (including Additional Amounts) after such withholding
or deduction will not be less than the amount such holder or beneficial owner would have received if such Taxes had not been withheld
or deducted; provided that no Additional Amounts will be payable with respect to:
| (a) | any payment to a holder or beneficial owner who is liable for such Taxes in respect of such Note (i) by reason of such holder or beneficial owner being a Person with whom the Issuer is not dealing at arm’s
length for the purposes of the Income Tax Act (Canada); or (ii) by reason of the existence of any present or former connection
between such holder or beneficial owner (or between a fiduciary, settlor, beneficiary, member or shareholder of, or possessor of power
over, such holder or beneficial owner, if such holder or beneficial owner is an estate, trust, partnership, limited liability company
or corporation) and Canada or any province or territory thereof or therein or agency thereof or therein other than the mere acquisition,
holding, use or ownership or deemed holding, use or ownership, or receiving payments or enforcing any rights in respect of this Note as
a non-resident or deemed non-resident of Canada or any province or territory thereof or therein or any agency thereof or therein; |
| (b) | any payment to a holder or beneficial owner in respect of whom such Tax is required to be withheld or
deducted by reason of the holder or beneficial owner being a person (i) who is, or does not deal at arm’s length with any person
who is, a “specified shareholder” (as defined in subsection 18(5) of the Income
Tax Act (Canada)) of TELUS; or (ii) who is an entity in respect of which TELUS is a “specified entity” (as defined
in subsection 18.4(1) of the Income Tax Act (Canada)); |
| (c) | this Note if presented for payment more than 30 days after the later of (i) the date on which such
payment first becomes due; or (ii) if the full amount of the monies payable has not been paid to the Holder of this Note on or prior
to such date, the date on which the full amount of such monies has been paid to the Holder of this Note, except to the extent that the
Holder of this Note would have been entitled to such Additional Amounts on presentation of the same for payment on the last day of such
period of 30 days; |
| (d) | any estate, inheritance, gift, sales, transfer, excise or personal property tax or any similar Tax; |
| (e) | any Tax imposed as a result of the failure of a holder or beneficial owner of this Note to comply with
certification, identification, declaration or similar reporting requirements concerning the nationality, residence, identity or connection
with Canada or any province or territory thereof or therein or agency thereof or therein of such holder or beneficial owner of this Note,
if such compliance is required by statute or by regulation, as a precondition to reduction of, or exemption, from such Tax; |
| (f) | any Tax which is payable otherwise than by withholding or deduction from any payment made under or with
respect to this Notes; or |
| (g) | any combination of the above items; |
nor will such Additional Amounts be paid with
respect to any payment on this Note to a holder or beneficial owner who is a fiduciary or partnership or other than the sole beneficial
owner of this Note to the extent that a beneficiary or settlor with respect to such fiduciary, or a member of such partnership or a beneficial
owner thereof would not have been entitled to receive a payment of such Additional Amounts had such beneficiary, settlor, member or beneficial
owner received directly its beneficial or distributive share of such payment.
Where Tax is payable pursuant to Section 803
of the Income Tax Regulations by a Holder of the Notes or beneficial owner of the Notes in respect of any amount payable under
the Notes to the Holder of the Notes (other than by reason of a transfer of the Notes to a person resident in Canada with whom the transferor
does not deal at arm’s length for the purposes of the Income Tax Act (Canada)), but no Additional Amount is paid in respect
of such Tax, the Issuer will pay to the Holder of the Notes an amount equal to such Tax within 45 days after receiving from the Holder
of the Notes a notice containing reasonable particulars of the Tax so payable, provided such Holder of the Notes or beneficial owner would
have been entitled to receive Additional Amounts on account of such Tax but for the fact that it is payable otherwise than by deduction
or withholding from payments made under or with respect to the Notes.
This Note is one of a duly authorized Series of
Debt Securities designated as 4.65% Notes, Series CAQ due August 13, 2031 issued under a trust indenture dated as of May 22,
2001 (the “Base Indenture”) as supplemented by the forty-seventh supplement to the Base Indenture, dated January 2,
2024 between the Issuer and the Indenture Trustee (the "Forty- Seventh Supplement") and a fifty-first series supplement
(the “Series Supplement”) dated as of August 13, 2024 (the Series Supplement and, together with the
Base Indenture and the Forty-Seventh Supplement, and as further amended, the “Indenture”), in each case between the
Issuer and the Indenture Trustee. Reference is hereby made to the Indenture as to the nature and extent of the rights of the Holders of
the Debt Securities of this Series, all to the same effect as if the provisions of the Indenture were herein set forth, to all of which
provisions the Holder of this Note by acceptance hereof assents. All capitalized terms used but not defined herein have the meanings specified
in the Indenture.
Each Debt Security of this Series, including this
Note, may be redeemed by the Issuer in whole or in part at any time prior to June 13, 2031 upon not less than 10 days’ and
not more than 60 days’ notice to the Holder hereof, in accordance with Section 3.01 of the Base Indenture (as amended by the
Series Supplement), at a Redemption Price equal to the greater of (a) the Discounted Value of this Note for the applicable Redemption
Date, and (b) the outstanding principal amount of this Note, together in each case with all accrued and unpaid interest hereon to
the Redemption Date. All Debt Securities of this Series, including this Note, may be redeemed by the Issuer in whole, or from time to
time, in part, at any time on or after June 13, 2031 upon not less than 10 days’ and not more than 60 days’ notice to
the Holder hereof, in accordance with Section 3.01 of the Base Indenture (as amended by the Series Supplement), at a Redemption
Price equal to the outstanding principal amount of this Note together with all accrued and unpaid interest hereon to the Redemption Date.
Any redemption may, at the Issuer's discretion, be subject to one or more conditions, and may be revoked if any such conditions are not
satisfied.
For the purpose of the preceding paragraph, “Discounted
Value” shall mean, for this Note and any applicable Redemption Date, an amount equal to the sum of the present values of all
remaining scheduled payments of principal and interest (not including any portion of the payment of interest accrued as of such Redemption
Date) from such Redemption Date to the respective due dates for such payments until June 13, 2031 computed on a semi-annual basis
by discounting such payments (assuming a 365 day year) to the Redemption Date at the Government of Canada Yield plus 38.5 basis points,
and “Government of Canada Yield” shall mean, with respect to this Note and any applicable Redemption Date, the mid-market
yield to maturity on the third Business Day (the “Determination Date”) preceding such Redemption Date, compounded semi-
annually, which a non-callable Government of Canada bond would carry if issued, in Canadian Dollars in Canada, at 100% of its principal
amount on such date with a term to maturity which most closely approximates the remaining term to June 13, 2031 from such Redemption
Date as quoted by a dealer selected from time to time by the Issuer and approved by the Indenture Trustee at noon (Toronto time) on such
Determination Date. In the case of any redemption of less than all of the Debt Securities of this Series, the Debt Securities to be redeemed
will be selected by the Indenture Trustee on a pro rata basis or by such other method (which may include random selection by computer)
as the Indenture Trustee may deem appropriate.
In addition, this Note may be redeemed, together
with all of the other Debt Securities of this Series, in whole, but not in part, at any time at the election of the Issuer for a Redemption
Price equal to 100% of the outstanding principal amount of this Note together with accrued and unpaid interest thereon to the Redemption
Date, if the Issuer delivers to the Indenture Trustee an opinion of independent Canadian tax counsel experienced in such matters to the
effect that the Issuer has become or would become obligated to pay, on the next date on which any amount would be payable under or with
respect to the outstanding Debt Securities of this Series, any Additional Amounts as a result of a change in the laws (including any regulations
promulgated thereunder) of Canada, or any province or territory thereof or therein or any agency thereof or therein having the power to
tax, or any change in any official position regarding the application or interpretation of such laws or regulations, which change is announced
or becomes effective on or after the Series Issuance Date; provided that the Issuer determines, in its business judgment, that the
obligation to pay such Additional Amounts cannot be avoided by the use of reasonable measures available to the Issuer (not including substitution
of the obligor under the Debt Securities of this Series).
The Issuer is required, subject to and in accordance
with the provisions of the Indenture, to make an offer to repurchase this Note at a price equal to 101% of the outstanding principal amount
of this Note together with accrued and unpaid interest thereon to the date of purchase upon the occurrence of a Change of Control Triggering
Event (as defined in the Series Supplement).
The outstanding principal amount of this Note
may become or be declared to be due and payable by the Indenture Trustee before maturity in the circumstances set out in Article 6
of the Base Indenture.
This Note is transferable only in accordance
with the provisions of the Indenture and subject to the last two sentences of this paragraph. No transfer of this Note shall be
valid unless made on the Register kept by and at the principal office of the Registrar in Calgary, Alberta, by the Holder hereof or
its attorney duly appointed by instrument in writing in form and execution satisfactory to the Registrar upon compliance with such
reasonable requirements as the Registrar may prescribe. Except as otherwise provided in the Indenture, this Note may be
transferred, in whole but not in part, only to another nominee of the Depositary for the 4.65% Notes, Series CAQ due
August 13, 2031 or to a successor Depositary or to a nominee of such successor Depositary. Unless this certificate is presented
by an authorized representative of CDS Clearing and Depository Services Inc. (“CDS”) to TELUS Corporation (the
“Issuer”) or its agent for registration of transfer, exchange or payment, and any certificate issued in respect thereof
is registered in the name of CDS & CO., or in such other name as is requested by an authorized representative of CDS (and
any payment is made to CDS & CO. or to such other entity as is requested by an authorized representative of CDS), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL since the registered holder hereof,
CDS & CO., has a property interest in the securities represented by this certificate herein and it is a violation of its
rights for another person to hold, transfer or deal with this certificate.
The Indenture contains provisions making binding
upon all Holders of the Debt Securities of this Series, or upon the Holders of all Series outstanding under the Indenture, certain
Holder Actions taken by the Holders of a specified majority of the Debt Securities of this Series, or of all Series, as the case may be,
then outstanding.
This Note shall not become obligatory for any purpose until certified
by the Indenture Trustee.
[Remainder of page intentionally left blank]
IN WITNESS OF WHICH TELUS
Corporation has caused this 4.65% Note, Series CAQ due August 13, 2031 to be signed by its duly authorized officer on August 13,
2024.
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TELUS CORPORATION |
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by: |
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Name: |
Doug French |
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Title: |
Executive Vice-President and Chief Financial Officer |
EXECUTION PAGE – GLOBAL NOTE
INDENTURE TRUSTEE’S CERTIFICATE
This 4.65% Note, Series CAQ due August 13, 2031 is one of
the 4.65% Notes, Series CAQ due August 13, 2031 referred to in the Indenture (CUSIP No. 87971MCH4).
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COMPUTERSHARE TRUST COMPANY OF CANADA |
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by: |
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Authorized Signing Officer |
| (Form of Registration Panel) |
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| (No writing hereon except by the Indenture Trustee) |
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Authorized Signature |
| Date of Registration |
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In Whose name Registered |
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of Indenture Trustee |
EXECUTION PAGE – GLOBAL NOTE
Telus (NYSE:TU)
過去 株価チャート
から 10 2024 まで 11 2024
Telus (NYSE:TU)
過去 株価チャート
から 11 2023 まで 11 2024
