Tuesday, October 31, 2006
Published in Magazine:
Thursday, February 01, 2007
On October 31, 2006, SFK Pulp Fund successfully completed the acquisition of the Great Lakes Pulp Mill and the American Fiber Mill, two recycled bleached pulp mills in the US, for a total purchase price of $156.1 million, subject to certain post-closing working capital adjustments.
The acquisition was funded through a $90.1 million public offering of debentures and subscription receipts (closed on September 7, 2006) and a $255 million fully underwritten debt financing, constituted of a $200 million term facility and a $55 million revolving facility. The term facility was extended by a syndicate of institutional investors and the revolving facility, by a syndicate of Canadian chartered banks and one institutional investor. The new credit facilities were also used to reimburse SFK Pulp's existing indebtedness.
SFK Pulp was assisted for the acquisition by a team from Osler, Hoskin & Harcourt LLP led by Christiane Jodoin and Sue Krembs and including Radha Curpen, Bill Corcoran, Dan Elie, Paul Seraganian, Sach Davé, Liliana Ripandelli, Emmanuelle Lamarre-Cliche, Matthew Starnes and André de Maurivez and, for the financing, by a team from Osler led by Étienne Massicotte and including Eric Blondeau.
The lenders were assisted by a team from Borden Ladner Gervais LLP led by Ken Atlas and including Glen A. Bowman, Daniel Gendron, Caroline Emond, Brigid Quinlan, Larissa Tkachenko, Sylvie Bouvette, Beatrice Couture, Nathalie Olivier, Sophie Gagnon and Diane Leduc.