OSIFA Completes Inaugural Offering of IRBs

On February 24, 2005, the Ontario Strategic Infrastructure Financing Authority (OSIFA) completed its inaugural offering of infrastructure renewal bonds (IRBs) series 2005–A1 due June 1, 2015. The $650-million, 10-year issue went out at a spread of six basis points over the benchmark Ontario bond. IRBs pay a coupon rate of 4.60 per cent and were issued at a price of $996.99 for a yield to the investor of 4.638 per cent. The proceeds of this issue will be used to finance infrastructure renewal loans to municipalities and universities.

OSIFA was represented in-house by Dermot Muir, general counsel, and Navin Katyal, legal counsel. OSIFA was also represented by Carol Pennycook and Steven Harris (securities) and John Zinn (tax) of Davies Ward Phillips & Vineberg LLP.

The underwriting syndicate was represented by Jeffrey Roy and Pat Gleeson (securities) and Chris Norton (tax) of Cassels Brock & Blackwell LLP. The syndicate was led by BMO Nesbitt Burns and included Scotia Capital, RBC Capital Markets, CIBC World Markets, the Toronto-Dominion Bank, National Bank Financial, Merrill Lynch, Casgrain and Company, Laurentian Bank Securities, Desjardins Securities and Canaccord Capital.