McCarthy Tétrault advises CDPQ in its investment in Bombardier Transportation’s newly-created BT Holdco

Montréal, November 19, 2015 — Bombardier Transportation, a global leader in the rail industry, announced this morning it had entered into a definitive agreement with Caisse de dépôt et placement du Québec (CDPQ) for a $1.5 billion US convertible share investment in Bombardier Transportation’s newly-created holding company, BT Holdco. Under the terms of the agreement, CDPQ will acquire shares of BT Holdco convertible into a 30% common equity stake of BT Holdco, subject to annual adjustments related to performance. The transaction will be executed through a private placement and values Bombardier Transportation at $5 billion US.

McCarthy Tétrault advised and supported its client, CDPQ, in designing and negotiating the innovative structure of this transaction. CDPQ’s President and CEO, Michal Sabia, said in a statement that “the hybrid investment instrument allows CDPQ’s depositors to benefit from the improving performance of Bombardier Transportation with its equity-like features, while protecting their capital through its characteristics. This investment is structured with the goal of delivering double-digit returns”.

Under Patrick Boucher’s leadership, the McCarthy Tétrault team contributing to this important transaction includes Stéphanie Lee, Sonia Struthers, Philippe Bélanger, James Farley, Jocelyn Perreault, Richard O’Doherty, Mathieu Dubord, John Boscariol, Christian Meighen, Marie-Soleil Landry, Charles-Antoine Soulière, Isabelle Nazon, Christopher Belval, Louis-Philippe Samson and Jacob Stone. David McAusland acted as senior strategic advisor.

CDPQ’s legal team was led by Marie Giguère, Executive Vice-President, Legal Affairs and Secretariat, and Sophie Lussier, Senior Director, Legal Affairs, Investment.

Using a value-driven team approach, McCarthy Tétrault’s Business Law Group delivers optimal solutions to Canadian and international clients. Our professionals offer deep expertise and exceptional judgement in all areas critical to successful business transactions.

About McCarthy Tétrault

McCarthy Tétrault LLP provides a broad range of legal services, advising on large and complex assignments for Canadian and international interests. The firm has substantial presence in Canada’s major commercial centres and in London, UK.

Built on an integrated approach to the practice of law and delivery of innovative client services, the firm brings its legal talent, industry insight and practice experience to help clients achieve the results that are important to them.