Madrid, 9th May, 2018

Iridium, through its Canadian affiliate ACS Infrastructure Canada, as part of the Mosaic Transit Group consortium has successfully achieved Financial Close for the Finch West Light Rail Transit Project in Toronto, Canada. With a 1.4 billion Canadian dollars initial investment, the consortium is integrated by Iridium, which participates in a 33% in the concessionaire and 50% in maintenance works, and by local companies Aecon and Dufferin / CRH Group Canada Inc. ACS Group, through Dragados Canada, also participates in a 33% in the construction Works. The consortium executed the concession agreement on May 3rd and successfully achieved Financial Close on May 7th.


Transit Project

The public-private-partnership (PPP) scheme for the project includes the design, construction, finance and maintenance of a new 11km street running light rail transit system along Finch Avenue West, one of the main and most congested arteries in Toronto. The project includes 18 stops, 16 new at-grade, a below-grade stop, and an underground station connecting to the newly developed TTC Finch West station on the Toronto-York-Spadina Subway Extension. Finally, ACS will also be responsible for the integration and maintenance during the 30-year concession term of the system and the new fleet of vehicles supplied by Alstom through a separate agreement with Metrolinx.


The Financing Structure

Public contribution during construction will be in the form of monthly progress payments and a substantial completion payments at the end of the construction works. The private financing of over CAN $839 million (EUR 552 million), includes issuance of both long-term and medium-term amortizing bonds, both underwritten by RBC and HSBC. The financing also includes a short-term construction bank facility syndicated by 5 international bank lenders: Royal Bank of Canada, Desjardins, TD Bank, Mizuho and ATB Financial..

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