Herbert Smith and Latham advise on complex refinancing deal

Herbert Smith and Latham & Watkins have taken lead roles on the £150m refinancing of London's landmark O2 arena.

Herbert Smith advised Anschutz Entertainment Group (AEG), which controls the venue, with the law firm fielding a team led by London finance partner Gary Hommel and real estate partner Richard Forsdyke.

Latham advised Credit Suisse, which syndicated the refinancing facility in London and Los Angeles, with City finance partner Andy Kolacki heading up the US firm's team.

Herbert Smith has been advising AEG on its involvement in the redevelopment of the former Millennium Dome and the adjoining land at Greenwich Peninsula since 2001.

Latham, meanwhile, advised Credit Suisse as arranger of a 2006 financing package used for the construction and operation of the O2 as an entertainment venue.

Hommel said: "The hybrid nature of the entertainment business and the real estate assets at the O2 means that this is an unusual financing in the UK. The O2's unique business in this country and its particular real estate holding structure – which involves tiers of intermediate and side-by-side leases – meant that the facility and security structure had to be specifically tailored to give the borrower the flexibility it needed while providing the funders with necessary protection."

In 2001 Slaughter and May won the lead role on the redevelopment of the Greenwich Peninsula with an appointment as sole adviser to Meridian Delta, the Government's preferred bidder for the Millennium Dome.

The venue was then sub-leased to Los Angeles-based AEG, which employs more than 3,000 staff and is one of the leading providers of live entertainment and sporting events in the world.