Air Canada T.AC

Alternate Symbol(s): ACDVF

Industrials Airlines

Air Canada is an airline company. The Company is a provider of scheduled passenger services in the Canadian market, the Canada-United States (U.S.) transborder market and the international market to and from Canada. It provides scheduled service directly to more than 180 airports in Canada, the United States and internationally on six continents. The Company’s Aeroplan program is Canada's premier travel loyalty program, where members can earn or redeem points on the airline partner network of 45 airlines, plus through a range of merchandise, hotel and car rental rewards. Its freight division, Air Canada Cargo, provides air freight lift and connectivity to hundreds of destinations across six continents using its passenger and freighter aircraft. Its Air Canada Vacations is a tour operator, which is engaged in developing, marketing, and distributing vacation travel packages in the outbound/inbound leisure travel market. Air Canada Rouge is Air Canada's leisure carrier.

TSX:AC - Post by User

Air Canada > JPM, Citi, and TD Securities are LEAD Arrangers

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Comment by JuIieRichardson Jul 19, 2021 9:58am

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Post# 33568648

RE:JPM, Citi, and TD Securities are LEAD Arrangers

JuIieRichards wrote:
MONTREAL, July 19, 2021 /CNW Telbec/ - Air Canada (TSX: AC) (the "Company") today announced that it has launched the syndication of a new senior secured term loan B expected to mature in 2028 (the "Term Loan"), and completed the syndication in respect of a new senior secured revolving facility expected to mature in 2025 (the "Revolving Facility", together with the Term Loan, the "Senior Secured Credit Facilities").

Subject to market and other conditions, Air Canada intends to complete refinancing transactions seeking total gross proceeds of approximately US$5.35 billion, and which will include the entering into of the Senior Secured Credit Facilities. The proceeds of the Term Loan are intended to fund (i) the refinancing of the Company's 4.75% senior secured notes due 2023 and 9.00% second lien notes due 2024, (ii) the refinancing of the Company's indebtedness under the loan agreement dated as of October 6, 2016 and comprised of a syndicated secured US dollar term loan B facility and a syndicated secured US dollar revolving credit facility and (iii) working capital and other general corporate purposes of Air Canada and its subsidiaries. The proceeds of the Revolving Facility are intended to fund working capital and other general corporate purposes of Air Canada and its subsidiaries. Air Canada will review multiple funding sources when assessing the aforementioned refinancing transactions.

This press release does not constitute an offer to buy or sell or the solicitation of an offer to sell or buy any securities and shall not constitute an offer, solicitation or sale in the United States or in any other jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration and qualification under the securities laws of such state or jurisdiction.

Closing of the Senior Secured Credit Facilities is expected to occur in the second or third week of August 2021, subject to obtaining lender commitments, market conditions and customary closing conditions.

JPMorgan Chase Bank, N.A., Citi and TD Securities are acting as lead arrangers and active bookrunners for the Senior Secured Credit Facilities.