Halifax Airport Authority seeks consents from holders of all bonds

By Cady Vishniac

Detroit, Dec. 11 – Halifax International Airport Authority (HIAA) is seeking consents from holders of all of its outstanding bonds, according to a press release.

The consents would temporarily release HIAA from having to meet certain debt service coverage ratios when incurring additional debt or in proceeding to sell, lease or dispose of property and assets.

The company says that it has been impacted by the decline in air traffic associated with the Covid-19 pandemic and is seeking the consents out of an abundance of caution to decrease the likelihood of an event of default under the indentures of bonds with maturities from 2020 to 2022.

If holders representing at least two-thirds of the principal amount of all outstanding bonds as of Dec. 10 and the sole holder of HIAA’s pledged bonds deliver consents by 5 p.m. ET on Dec. 29, an extraordinary resolution will be passed approving the proposed amendments.

HIAA will pay a consent fee of C$1 for each C$1,000 principal amount of bonds held by all those who deliver their consent forms before the Dec. 29 deadline, regardless of whether they consent to the proposed amendments.

RBC Dominion Securities Inc. (416 842-6311, torontosyndicate@rbccm.com) is the solicitation agent, and Computershare Trust Company of Canada is the tabulation agent.

The Halifax International Airport Authority runs Halifax Stanfield International Airport in Halifax, N.S.

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