NEW YORK, June 11, 2013 /PRNewswire/ -- BNY Mellon, the global leader in investment management and investment services, has been appointed collateral agent, insurance trustee and financial model custodian by the Rideau Transit Group (RTG) for its CAD$2.1 billion transit contract. Rideau Transit Group will use the lender's proceeds to finance the construction of the Confederation Line, a light rail project that will run through the city of Ottawa, Canada.
The Rideau Transit Group and the City of Ottawa have entered into a public-private partnership (P3) in which RTG will design, build, finance and maintain the Confederation Line light rapid transit system. RTG is a consortium comprising ACS Infrastructure Canada Inc., SNC-Lavalin Capital and EllisDon Inc.
"The Confederation Line is the largest transportation infrastructure project in Ottawa's history, and we are pleased to be working with BNY Mellon. We chose to work with BNY Mellon because of their expertise in administering a wide range of project finance roles and experience in servicing Canadian P3s," said Antonio Estrada, CEO of Rideau Transit Group."Transit P3s are one of the leading types of ventures within project finance," said Dan Gosselin, CEO of BNY Trust Company of Canada. "We are committed to being a key participant in valuable public-private partnerships in Canada and are well positioned to support the Rideau Transit Group as they finance a project that will strengthen the transportation infrastructure of Ottawa, Canada's capital city." BNY Mellon Corporate Trust, through BNY Trust Company of Canada, provides global trust and agency services to Canadian issuers interested in tapping the global capital markets, as well as any issuer looking to issue in the Canadian domestic capital markets. As of March 31, 2013, BNY Mellon Corporate Trust serviced $12 trillion in outstanding debt from more than 60 locations worldwide. Its clients include governments and their agencies, multinational corporations, financial institutions and other entities that access the global debt capital markets. The corporate trust business utilizes its global footprint and expertise to deliver a full range of issuer and related investor services and to develop customized and market-driven solutions. Its range of core services includes debt trustee, paying agency, escrow and other fiduciary offerings. Corporate trust providers are appointed by corporations, municipal governments and other entities issuing debt to perform a variety of duties, including servicing and maintaining the debt issue, processing principal and interest payments for investors, representing investors in defaults, and providing value-added services for complex debt structures.