BFI Canada Income Fund Closes IPO

On April 25, 2002, BFI Canada Income Fund, an open-ended, limited purpose trust, completed its initial public offering of 17.5 million units at $10 per unit for gross proceeds of $175 million. Part of the proceeds of the offering were used to acquire BFI Canada Inc., a full-service waste management company. Based on revenues, BFI Canada Inc. is one of the three largest non-hazardous solid waste management companies in Canada and was initially organized in June 2000 with financing led by EdgeStone Capital Partners Inc. The offering was made through a syndicate of underwriters led by CIBC World Markets Inc. and National Bank Financial Inc., and included BMO Nesbitt Burns Inc., Scotia Capital Inc., TD Securities Inc., Dundee Securities Corporation and Desjardins Securities Inc.
BFI was represented by Lawrence Chernin, Fraser McDonald, Leslie Giller, Susan Guttman, Bernard Morris, Mara Collins and Ramandeep Grewal of Goodman and Carr LLP. The underwriters were represented by Phil Brown, Corrado Cardarelli, Karrin Powys-Lybbe and Rebecca Brackley of Torys LLP. EdgeStone was represented by Sandra Cowan, partner and general counsel, assisted by David Matlow, Mark Surchin, Dennis Lopes, Carrie Smit and Jon Northup of Goodmans LLP.
Part of the proceeds of the public offering were used to repay a portion of BFI Canada’s outstanding indebtedness and, immediately following closing of the public offering, BFI Canada entered into an amended and restated credit and guarantee agreement that provides for two credit facilities, being a revolving credit facility in the maximum amount of $28.6 million and a term loan of $71 million. CIBC acted as administrative agent on behalf of itself and a group of lenders.
BFI Canada was represented in connection with the amendment to its credit facilities by Laurence Geringer, Steve Watson and Vanessa Yeung of Goodman and Carr. The lenders were represented by Jeffrey Rogers, Edward Ra and Sean Cooke of McMillan Binch.