Business
Transat A.T. Inc. and CEEFC Announce Closing of the Restructuring of the LEEFF Debt
Transat A.T. Inc. and CEEFC Announce Closing of the Restructuring of the LEEFF Debt Can...
About this update from Transat A.t. Inc.
[{"type":"text","content":"\n\n\n\n Transat A.T. Inc. and CEEFC Announce Closing of the Restructuring of the LEEFF Debt\n \n\n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n\n\n\n\n\n Canada NewsWire\n \n\n\n\n\n\n MONTREAL\n \n\n ,\n \n\n July 10, 2025\n \n\n /CNW/ - Transat A.T. Inc. (\"Transat\" or the \"Corporation\") announced today that it has closed the restructuring of the indebtedness incurred by Transat under the Large Enterprise Emergency Funding Facility (LEEFF) program managed by Canada Enterprise Emergency Funding Corporation (\"CEEFC\") as previously communicated on\n \n June 5, 2025\n \n (the \"Transaction\").\n \n\n Following the Transaction, the Corporation's outstanding debt with CEEFC is reduced to\n \n $334M\n \n from\n \n $772M\n \n as at\n \n March 31, 2025\n \n .\n \n\n The agreement deals with the entire indebtedness of the Corporation with CEEFC, and results in such indebtedness, in a principal amount of approximately $772M in the aggregate as at March 31, 2025, having been restructured as follows:\n \n\n\n Repayment of $41.4M in cash to CEEFC\n \n\n Credit facilities reduced to a single credit facility of $175M\n \n\n Issuance to CEEFC of a $158,735,045 debenture maturing in 10 years\n \n\n Issuance to CEEFC of\n \n $16,264,955\n \n of preferred shares convertible into 9,934,617 Class B Voting Shares representing 19.9% of the issued and outstanding voting shares of Transat based on the 5-day VWAP on\n \n June 5, 2025\n \n ) at any time after the earlier of the second anniversary of closing and the redemption of preferred shares for proceeds of\n \n $16,264,955\n \n pursuant to mandatory prepayment events.\n \n (1)\n \n\n\n\n Please refer to the Corporation's press release of June 5, 2025 for a more detailed description of the Transaction and its main components.\n \n\n\n About Transat\n \n\n\n Founded in Montreal in 1987, Transat has achieved worldwide recognition as a provider of leisure travel particularly as an airline under the Air Transat brand. Voted World's Best Leisure Airline by passengers at the 2025 Skytra...