TD Bank’s $1 billion corporate financing loan
Published June 30, 2021
The transaction was the first covenant-based loan for a private exploration and production company in Canada.
We were counsel to TD Bank (the administrative agent) and a syndicate of eight lenders for a loan connected to the amalgamation of Strathcona Resources Ltd. and Osum Oil Sands Corp.
Although this was a large deal, it was relatively straightforward. Since TD has done acquisition financing many times before––and is a longstanding BD&P client––it was an even smoother process.
Our team’s work involved:
- Due diligence on the entity being acquired, including its assets.
- Reviewing the acquisition agreement and the amalgamation process.
The transaction created the largest private equity-owned oil producer in North America. It also marks the first new covenant-based loan issued to a Canadian oil and gas producer since 2018 and the first-ever for a private exploration and production company in Canada.
Since the completion of this matter, TD has done two more similar transactions (as of February 2022) with BD&P as counsel.