(Montreal) Transat AT on Thursday announced that it has received some financial relief as the European Commission’s decision on the takeover of Air Canada is pending.
The tour operator reported a three-month extension of its $ 250 million subordinated short-term loan facility.
Transat said the facility was launched on October 10, with Export Development Canada and the National Bank of Canada as the main entities.
“Between June 30, 2021 and the end of arrangements with Air Canada, the loan facility will now end on the first possible possibility,” Transat said in a press release.
Transat said the extension provided an additional way for the credit facility to obtain the financing it needed before the deadline, but awaited the European Commission’s decision on Air Canada’s acquisition. Here in late June.
Uncertainty continues over Air Canada’s $ 190 million acquisition of a green light from the federal government.
Since the country’s largest airline has refused to extend the February 15 deadline to complete the deal, both parties can now finalize the deal at any time.
Companies in this story: (TSX: AC; TSX: TRZ)