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Telus Exploring Sale or Partnership for Health Division

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  Published in Business and Finance on Thursday, January 8th 2026 at 8:53 GMT by Toronto Star

Toronto, ON - January 8th, 2026 - Telus Corp. announced today it is actively exploring strategic options for its rapidly growing Telus Health division, potentially opening the door to a sale or a significant partnership. The move signals a possible shift in strategy for the Canadian telecommunications giant, as it seeks to unlock value and streamline its focus back towards its core communications business.

The announcement, made Thursday, detailed that Telus has engaged financial advisors to evaluate a range of possibilities for the healthcare arm. Telus Health has quickly become a dominant force in the Canadian digital health sector, providing a comprehensive suite of services to patients, physicians, and pharmacies. However, maintaining its leadership position in such a competitive and fast-evolving market necessitates continuous and substantial investment.

According to Telus President and CEO Darren Entwistle, the decision to explore strategic options stems from the impressive growth and success Telus Health has already achieved. "Given the substantial growth and success of Telus Health, the board has determined that now is the appropriate time to explore strategic options to maximize its potential," Entwistle stated. "These options could include a strategic partnership or a sale of the business."

This decision arrives amidst increasing pressure from investors for Telus to refine its strategic direction and address its debt. While Telus has successfully diversified into sectors beyond telecommunications, including healthcare and cybersecurity, some financial analysts suggest this expansion has stretched the company's resources thin. A divestiture, either partial or complete, of Telus Health could provide a substantial influx of capital to reduce debt and potentially return funds to shareholders.

What Does This Mean for Telus Health?

Telus Health is a major player in Canadian healthcare IT, boasting a workforce of over 17,000 employees. The division offers a broad portfolio of services, including electronic medical records (EMR) systems, virtual care platforms, and pharmacy management solutions. While Telus doesn't publicly disclose specific financial performance for Telus Health, they confirm annual revenues exceeding $5 billion, underlining the division's significant contribution to the company's overall financial health.

The potential for a sale or partnership creates several possibilities. A private equity firm could acquire Telus Health, injecting capital for further expansion and innovation while potentially implementing operational efficiencies. Alternatively, a strategic partnership with an established healthcare provider or technology company could accelerate the development of new services and broaden market reach.

Industry Implications and Potential Bidders

The Canadian digital health landscape is becoming increasingly crowded, with both established players and emerging startups vying for market share. This makes Telus Health an attractive acquisition target. Several entities are likely to be considering a bid. Large private equity firms specializing in healthcare technology are almost certain to be evaluating the opportunity. Domestic healthcare companies seeking to expand their digital capabilities, and even international players looking to establish a stronger foothold in the Canadian market, could also emerge as potential suitors.

Analysts predict a competitive bidding process, given Telus Health's strong market position and revenue stream. The ultimate outcome will likely depend on the valuation Telus places on the division and the strategic goals of potential buyers.

Telus's Return to Core Focus

This move is being interpreted by many as a signal that Telus intends to refocus its efforts on its primary telecommunications business, including 5G network expansion, fiber optic infrastructure, and wireless services. While Telus has demonstrated its ability to successfully operate in diverse sectors, concentrating on its core competencies could deliver greater returns for investors in the long term. The funds generated from a sale or partnership would allow Telus to invest more heavily in its communications infrastructure and potentially pursue other strategic initiatives within its core business.

The situation remains fluid, and Telus has not provided a timeline for a decision. However, the company's announcement clearly indicates a willingness to consider all options to maximize the value of Telus Health and position the company for sustained success in the evolving digital landscape.