The Firm represented J.P. Morgan Securities Inc. and Morgan Stanley & Co. Incorporated as initial purchasers of US$275 million of 12.50% Senior Secured Notes due 2018 issued by Postmedia Network Inc. (the “Company”). In addition, the Firm represented JPMorgan Chase Bank, N.A., as administrative agent, in connection with a senior secured term loan facility for the Company, consisting of a US$300 million tranche and a CAD$110 million tranche. The Firm also represented Morgan Stanley Senior Funding Inc., as administrative agent, in connection with a senior secured asset-based revolving credit facility for the Company in the amount of up to CAD$60 million. The Company used the proceeds, together with a capital contribution from members of an ad hoc committee of senior subordinated noteholders and lenders of Canwest Limited Partnership/Canwest Société en Commandite (“CLP”), to finance the purchase of substantially all of the assets of CLP (which was under creditor protection in Canada) in accordance with a plan of compromise under the Companies’ Creditors Arrangement Act in Canada.
The Company is the largest publisher of English-language paid daily newspapers by circulation in Canada and has the largest readership of English-language paid daily newspapers in Canada. The Company’s business consists of news and information gathering and dissemination operations, with products offered in all major markets and a number of regional and local markets in Canada through a variety of print, online, digital and mobile platforms.
The Simpson Thacher team included Marisa Stavenas, Jonathan Ozner, Rohith Parasuraman, Sean Crnkovich and David Shapiro (Capital Markets); William Sheehan, Alexandra Kaplan, Tony McMahon, Parijat Sharma and former associate Mark Maher (Credit); Mardi Merjian and Davis Coen (Real Estate); Genevieve Dorment (Intellectual Property); Jonathan Goldstein and Jennifer Klein (Tax); Adeeb Fadil and Noreen Lavan (Environmental); Samantha Shipp and former associate Eric Sarabia (Executive Compensation and Employee Benefits); Julie Levy (Labor); Ed Chung (M&A); and Elisha Graff (Bankruptcy). Summer associates Megan Vasios and Tony Young Rim and paralegals Matt Dresher and Manuel Fermin also provided valuable assistance.