LifeWorks shareholders will have the option to receive C$33.00 per share in cash, or 1.06 Telus shares, for each share held, or a mix of both.
The offer represents a premium of about 81% to LifeWorks stock's Wednesday closing price, while the equity value of the deal is C$2.3 billion, according to Reuters calculations.
LifeWorks will combine with Telus Health once the deal closes.
($1 = 1.2938 Canadian dollars)
(Reporting by Nivedita Balu and Eva Mathews in Bengaluru; Editing by Aditya Soni)