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TELUS' Workplace Options Buyout to Boost its Share in Digital Health

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In a major move to strengthen its position in the global health and well-being sector, TELUS Corporation (TU - Free Report) has partnered with GTCR, a prominent private equity firm with deep expertise in healthcare, to support TELUS Health’s acquisition of Workplace Options.

This acquisition, valued at approximately C$500 million ($350 million) in cash, excluding about C$100 million ($70 million) in assumed debt, marks a pivotal step in TELUS Health’s journey to become a global leader in digital-first wellness solutions. Workplace Options, a well-established provider of integrated employee wellbeing services, operates in more than 200 countries and territories, and has a strong portfolio of innovative and scalable offerings.

What Does This Acquisition Offer?

The deal significantly boosts TELUS Health’s international footprint and capabilities, enabling the company to serve more than 150 million lives worldwide. With a growing demand for holistic, technology-driven health solutions, TELUS Health is uniquely positioned to meet the evolving needs of individuals and organizations across various industries and regions.

This acquisition not only enhances TELUS Health’s service capacity but also reinforces its commitment to empowering individuals to live healthier lives through comprehensive, accessible digital health and wellbeing solutions. With the backing of GTCR and the integration of Workplace Options' global network, TELUS Health is set to redefine the standard of care in the global employee wellbeing market.

As part of the Workplace Options acquisition, GTCR will invest $200 million, leveraging its deep industry expertise and history of successful corporate collaborations.
The transaction brings significant benefits to TELUS Health, firmly establishing it as a global leader in employer health and well-being services. With a network of over 180,000 providers across more than 200 countries and territories, the company now has unmatched global reach. The deal also enables TELUS Health to deliver a standardized and scalable model for Employee and Family Assistance Programs (EFAP) and well-being solutions, supported by its industry-leading customer service and expansive global presence. By integrating TELUS’ robust infrastructure and network capabilities with Workplace Options’ advanced digital solutions and TELUS Digital’s AI expertise, the company gains a powerful competitive edge in the international market.

Momentum in Health Services bodes well. In the first quarter of 2025, TELUS Health’s operating revenues and other income revenues increased 12% year over year to C$473 million, driven by strong health services revenues. TELUS has also acquired LifeWorks to expand its presence in the digital health services market, and Competence Call Center to broaden its portfolio of customer experience, digital transformation and other services. With the LifeWorks acquisition, TELUS is looking at enhancing TELUS Health product offerings to international clients through synergies with TELUS International. TELUS Health’s adjusted EBITDA grew 30% year over year in the first quarter, driven by revenue growth, cost reductions and acquisition synergies.

TU’s Zacks Rank & Stock Price Performance

TELUS currently carries a Zacks Rank #3 (Hold). Shares of the company have lost 5.9% in the past year compared with the Zacks Diversified Communication Services industry’s decline of 7.1%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Exelon Corporation’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 10.05%. In the last reported quarter, EXC delivered an earnings surprise of 8.24%. EXC’s long-term earnings growth rate is 6.4%.  Its shares have increased 9.4% in the past year.


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