Victor Dodig succeeds Darren Entwistle as Telus CEO after 25-plus years at helm

New Telus president and CEO Victor Dodig speaks during CIBC's annual meeting of shareholders in Ottawa on Thursday, April 6, 2017. THE CANADIAN PRESS/Justin Tang

One of Canada’s largest telecommunications companies has officially transitioned to new leadership after more than 25 years, with Victor Dodig succeeding Darren Entwistle as president and CEO of Telus as of Wednesday.

Dodig stepped down as chief executive of CIBC last year after more than a decade leading the bank. He joined the Vancouver-based telecom company’s leadership team full-time on May 1 after serving on the Telus board of directors since 2022.

Entwistle expressed his “heartfelt gratitude” in an emailed message to Telus customers on Tuesday, which marked his final day as head of the company.

“I wanted to write and express my deep appreciation for your support of Telus. I am so grateful to work alongside a team that cares deeply and passionately about our clients,” he said.

“It is thanks to your patronage and loyalty that Telus is able to invest in the betterment of our communities, from infrastructure and technology, to much-needed philanthropy and volunteerism. Indeed, our Telus team strives to set a standard for other businesses to emulate and join us in making the world a better place.”

When Telus announced the succession plan in February, it said Dodig’s appointment followed a comprehensive search process, which considered a wide range of internal and external candidates.

It said Dodig is known for being an accessible leader who “demands excellence, focuses on customers and fosters exciting and dynamic workplace environments.” The company cited a transformation at CIBC that took place under his watch, which focused on improving customer service and enhancing technology.

Investors will be watching to see if Dodig moves to cut Telus’ dividend, which currently gives the stock a yield of more than 10 per cent. Some analysts have suggested that step could be needed to shore up Telus’ balance sheet amid ongoing growth pressures on subscriber growth and pricing.

Scotiabank analyst Maher Yaghi said in a February note that the change “might infuse a reset at Telus.”

“It will be important to see how Telus can do this transition while retaining important executives. The point to focus on is the dividend. Under Darren’s leadership we were operating under the assumption that the dividend is sacred and will be defended,” Yaghi wrote.

Entwistle started his career at Bell, where his father worked, and went on to serve as president of U.K.-based Cable & Wireless Communications before he was brought on to lead Telus.

At 37 years old, he was named president and CEO of the company in June 2000 and officially took over the following month.

Entwistle helped transform Telus by shelling out what was then considered a staggering $6.6 billion to buy Clearnet Communications, an early cellphone service provider, that same year.

After 14 years in the top role, Entwistle announced he would step down in 2014 and become the company’s executive chairman. Then-chief commercial officer Joe Natale was named Entwistle’s successor.

But just a year later, Entwistle returned to the CEO’s chair after Natale was ousted following an extensive review. The company said at the time that Natale, who had been based in the Toronto area, was reluctant to move his family to Western Canada, where Telus is headquartered.

Natale would go on to serve as chief executive of rival Rogers Communications Inc. from 2017 to 2021.

John Manley, chair of Telus’ board, credited Entwistle for Telus’ success in building world-leading broadband and AI infrastructure, expanding its business portfolio, growing from a regional telecom provider “to a leading global communications technology company” operating in more than 45 countries, and generating more than $20 billion in annual revenue.

Entwistle is set to serve as an adviser, available to Dodig, until April 30, 2027.

Also on Wednesday, Gopi Chande, who has served as chief financial officer of Telus Digital and Telus Health, took over as chief financial officer of the company following the retirement of Doug French.

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Sammy Hudes, The Canadian Press