VICTORIA, Oct. 22, 2013 /CNW/ - BC Ferries announced today that it has entered into an agency agreement with a syndicate of investment banks to issue $200 million of its senior secured bonds. The bonds will bear interest at 4.702% per annum and will mature in 30 years. The issue is expected to close October 25, 2013.
This issuance is partially related to the early redemption in July 2013 of the $140 million bond Series 08-2, which had a maturity date of December 19, 2013. As previously announced, it was BC Ferries' intention to refinance these bonds.
The net proceeds from the sale of this series of bonds will be used to partially fund capital expenditures, to repay amounts outstanding under the operating credit facility, to fund the series reserve account and to provide funding for general corporate purposes.
SOURCE: British Columbia Ferry Services Inc.
For further information:
BC Ferries, Media Relations
Victoria: (250) 978-1267