North American Palladium Ltd. Closes US$130 Million Term Loan, Extends Existing US$60 Million Revolving Credit Facility and Repays Existing $72 Million Notes

On June 7, 2013, North American Palladium Ltd., an established precious metals producer, closed a US$130 million senior secured term loan with Brookfield Capital Partners Ltd., the private equity group of Brookfield Asset Management Inc. The Term Loan is secured by first priority security on fixed assets and second priority security on accounts receivable and inventory.

NAP used the proceeds from the Term Loan to, among other things, pay and satisfy in full NAP’s existing $72 million senior secured notes.

Concurrently with entering into the Term Loan, NAP extended its US$60 million senior secured revolving credit facility with The Bank of Nova Scotia to July 4, 2014. The Operating Facility is secured by first priority security on accounts receivable and inventory and second priority security on fixed assets.

BNS was represented by McMillan LLP with a team that included Wael Rostom, Kathy Martin, Andrea St. Bernard, Andrew Kent, Darcy Ammerman and Matthew German.