Air Canada acquires Aeroplan rewards program from Aimia Inc. for C$497M
January 10, 2019
497.00 Million CAD
On January 10, 2019, Air Canada announced that it has completed its acquisition of the Aeroplan rewards program from Aimia Inc. for approximately C$497 million, which includes the assumption of approximately C$1.9 billion of Aeroplan Miles liability. Air Canada has also signed various commercial agreements with TD Bank, Canadian Imperial Bank of Commerce (CIBC) and Visa relating to the acquisition, including credit card loyalty program and network agreements for future participation in Air Canada's new loyalty program.
The transaction will mean that miles earned by Aeroplan will be honored on a one-to-one basis in Air Canada's new loyalty program, scheduled to launch in 2020.
McCarthy Tétrault LLP advised CIBC with a team led by David Woollcombe that included Matthew Kelleher and Saqib Butt (Business), Ana Badour and Justin Lapedus (Financial Services), James Gage and Heather Meredith (Bankruptcy & Restructuring), Oliver Borgers, Debbie Salzberger and Nikiforos Iatrou (Competition), Caroline Zayid, William Black and Michael Rosenberg (Litigation), Christine Ing (Technology), and Gabrielle Richards, Wendy Brousseau and Justin Shoemaker (Tax).