Telus revives share exchange plans

Tue Aug 21, 2012 5:51pm EDT
 
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(Reuters) - Telus Corp (T.TO: Quote), one of Canada's largest telecommunications providers, proposed to revive its plan to unify its share structure by converting non-voting shares into common shares on a one-for-one basis.

It will be the second time in a year that Telus is planning to consolidate its shares after the company withdrew its plan in May as the proposal failed to win enough support.

U.S. hedge fund Mason Capital had called for a meeting of holders of Telus's voting shares in August to prevent it from revisiting the failed plan.

Telus said on Tuesday it unanimously rejects Mason's requisition for a meeting to amend the company's by-laws and establish a minimum premium valuation for the voting shares.

Telus, which has 151 million non-voting shares outstanding, said it will have about 326 million common shares once the proposal is approved.

The shareholder meeting to vote on the proposal is planned for October 17.

The common shares will be listed on the New York Stock Exchange, Telus said.

The company said the proposal requires approvals from a majority of common share holders and two-thirds of non-voting shareholders.

(Reporting by Ankur Banerjee in Bangalore; Editing by Saumyadeb Chakrabarty)

 
A pedestrian is reflected in the window of a Telus store while using a mobile phone in Ottawa February 11, 2011. Telus said its quarterly profit rose 46 percent, driven largely by strong data and wireless revenue and growth in its landline Internet television service, Optik. REUTERS/Chris Wattie