Discovery Air Inc.

Industry

Aerospace

Company Profile

Discovery Air Inc., a publicly traded company on the Toronto Stock Exchange (TSX: DA.A; DA.B) operates the 2nd largest fleet of aircraft in Canada. The Company provides fixed-wing and helicopter services as well as logistic and remote operations management services. It subsidiaries offer: air ambulance, cargo service, scheduled and charter flights in Northern Canada, forest fire surveillance, aircraft and airspace management services, and airborne and military training services to the Canadian government.

NewPoint’s Role

NewPoint was retained as exclusive financial advisor by the Company to refinance an 18 month bridge loan that was provided to fund an acquisition. The $33 million bridge financing was coming due within months of NewPoint’s retention. The objective was to raise junior risk capital with a long-term maturity, bullet repayment and market based pricing in a very short period of time. NewPoint planned and executed a disciplined and confidential process, extensively canvassing financial groups within Canada and in the U.S.

Transaction Snapshot

The economic and credit crisis posed several unique challenges in raising the required financing. NewPoint canvassed a number of groups outside the traditional financing sources and ultimately, the Northwest Territories Opportunity Fund provided the necessary financing on attractive terms. The transaction closed within four months of NewPoint being retained.

Successfully refinanced maturing credit facilities.

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