Financial closure reached on Eglinton Crosstown LRT project

Crosslinx Transit Solutions General Partnership, a consortium comprised of Aecon Group Inc., ACS Infrastructure Canada, EllisDon, and SNC-Lavalin, announced July 24, 2015 that it has reached commercial and financial close on the Eglinton Crosstown Light Rail Transit (LRT) project in Toronto, Ontario, Canada.

As the largest transit expansion in Toronto’s history, the Crosstown is part of the $5.3 billion investment in integrated transportation and transit in the Greater Toronto and Hamilton area (GTHA) made by the Government of Ontario in 2010. The proposed 19-kilometer rail line will travel across Eglinton Avenue between Mount Dennis Station (Weston Road) in Toronto’s west end and Kennedy Station in the city’s east end. It will include 25 stations and stops that link commuters to bus routes, connections to three subway stations and various GO Transit lines. In addition, more than 10 kilometers of the system will run underground between Mount Dennis and east of Laird Drive.

Under the project agreement, Crosslinx Transit Solutions Partnership was selected by Metrolinx, the Province of Ontario’s regional transportation agency for GTHA, and Infrastructure Ontario as the preferred proponent for the project. Crosslinx is responsible for the design, build, finance, maintenance and lifestyle activities of the Eglinton Crosstown LRT line for a 30-year maintenance term, including the 25 stations, an integrated system of track work, rolling stock, signaling and communications infrastructure.

Each member of the Crosslinx consortium, including related construction and maintenance affiliates, is an equal partner with a 25% interest in the equity, development, construction, and maintenance activities of the project. Infrastructure Ontario is managing the procurement of the Crosstown’s integrated system and Metrolinx will oversee detailed design and construction.

Financing for the project is provided by National Bank Financial Inc. and Scotia Capital Inc. as underwriters; Alberta Treasury Branches, Caisse Centrale Desjardins, The Bank of Nova Scotia, The Bank of Tokyo-Mitsubishi UFJ Ltd. And Toronto-Dominion Bank as mandate lead arrangers; and The Bank of Nova Scotia and National Bank Financial Inc. as co-financial advisors for the project.

“We are pleased to have been awarded this project to deliver the Eglinton Crosstown, a signature LRT system that will benefit Torontonians for decades to come,” said Ian L. Edwards, Executive Vice President, Infrastructure, SNC-Lavlin Group Inc. “Our capabilities to execute LRT projects of this magnitude, as well as our ability to provide a fully integrated, value-added package that encompasses the whole life-cycle from end-to-end, are unmatched in this industry.”

“I am proud that we will have the opportunity to contribute our significant expertise in the LRT sector and deliver a vital, sustainable and affordable rapid transit solution that will improve traffic congestion along one of Metro Toronto’s key arteries and enhance the quality of life in the surrounding communities,” said Robert G. Card, President and CEO, SNC-Lavalin Group Inc. “Once operational, the Eglinton Crosstown will offer commuters a wide range of economic and environmental benefits in addition to travel options and time savings.”

“Together with our partners, Aecon is pleased to advance to the execution stage of the Eglinton Crosstown LRT project and looks forward to delivering a world-class LRT service for the City of Toronto,” said Terri McKibbon, President and CEO, Aecon Group Inc. “Our participation in this large-scale project, both during construction and maintenance stages, bodes well for Aecon’s growth, as it positions itself to participate in the unprecedented transit build-out planned by various jurisdictions across Canada.”