A big courtroom victory for Telus (TSX:T) late today.
The Supreme Court of BC has approved the telco’s proposal to exchange its non-voting shares for common shares on a one-for one basis.
Telus has been locked in a battle with shareholder Mason Capital. Mason had argued that Telus’s plan was unfair, and was seeking a higher conversion premium because Telus voting shares have historically traded higher than non-voting shares.
The judge in the case had stern words for the New York-based private equity firm:
“…Mason’s arguments display a lack of regard for the overall circumstances relating to TELUS and its shareholders, which are to be considered by this Court in the context of this fairness hearing. As I have earlier stated, Mason can hardly be considered a spokesman for the Common Shareholders when its strategy will result in a loss of value to the other Common Shareholders…Mason’s opposition must be viewed through the lens of its unique strategy, which has nothing to do with the well-being of TELUS and its shareholders…”
Mason Capital now has five business days to appeal the decision. If they do not, Telus says it will begin the process of delisting the shares on the TSX and the New York Stock Exchange. Telus common shares will then be listed on the NYSE for the first time.
Shares of Telus on the TSX closed today up .1% to $65.07.