PBB UNITS OBTAIN CREDIT FACILITIES
Pursuant to a credit agreement entered into as of Aug. 31, the operating subsidiaries of PBB Global Logistics Income Fund, namely PBB Global Logistics Inc. and PBB Global Logistics Limited Partnership, refinanced their bank debt and obtained $145-million in credit facilities ( consisting of a $ 40- million term facility, a $70-million revolving facility and a $ 35- million bridge facility) from a group of financial institutions comprised of National Bank of Canada, Caisse de dépôt et placement du Québec and Canadian Imperial Bank of Commerce, the latter of which acted as agent for the banking syndicate.
The credit facilities are fully secured, with the income fund, the borrowers and their respective subsidiaries granting s e c u r i t y throughout C a n a d a and the U n i t e d States. Of the $ 145million in facilities, PBB Global Logistics Limited Partnership used $ 52.8- million ( consisting of a purchase price of $35-million and a payment of $17.8million for working capital) in order to complete the acquisition of M&C International Trade from subsidiaries of TransForce Income Fund on Sept. 2.
The newly acquired M&C International Trade adds 20 offices to the group including approximately 200 employees across Canada, with a strong presence in Western Canada.
PBB Global Logistics Income Fund and its subsidiaries were represented by Matthew Cockburn, Tom Zverina, John Guccione, Nadine Rockman and Peter Johnson of Torys in Toronto, and Matthew Franks and Darren Baccus from the New York office, together with various local counsel across Canada and the U.S.
TransForce Income Fund was represented in- house by its legal advisor, Josiane- M. Langlois, and by Andrew Cohen and Antonella Penta of Heenan Blaikie in the sale of M&C International Trade.
The lending syndicate was represented by David Lemieux, Félix Gutierrez and Patrick Daneau of Fasken Martineau DuMoulin in Montreal, and David Johnson from the Toronto office. Jeffrey Tallackson of Brauner Baron Rosenzweig & Klein assisted them in connection with the U. S portion of the transaction.