Canada-based Telus struck a CAD2.9 billion ($2.2 billion) deal to acquire employee well-being company LifeWorks as part of a move to scale up and expand the global footprint of its existing digital health division.
Telus stated the proposed tie-up will significantly accelerate its vision of employer-based healthcare and the companies aim to collaborate to rapidly deploy next-generation capabilities to benefit staff around the world.
By combining LifeWorks and Telus Health, the joint company will have thousands of corporate clients across Canada, the US and in more than 160 countries.
LifeWorks positions itself as offering digital and in-person well-being products covering mental, physical, financial and social scenarios, operating a cloud-based platform.
It uses its capabilities to improve businesses through workforce engagement and productivity. The company has around 7000 employees and 25,000 clients.
Poor mental health
Darren Entwistle, president and CEO of Telus, explained the rationale behind the move in a conference call, stating pandemic-related pressures had created a “tsunami of burnout” and “poor mental health”.
“We’ve seen an unprecedented shift in what is required to support employers in addressing the evolving health and well-being needs of employees, including a greater focus on supporting mental health,” he said.
The deal is subject to customary closing conditions. It has been approved by LifeWorks’ board and shareholders.Subscribe to our daily newsletter Back