Magic circle duo advise on deal to raise funds for new terminal

Freshfields Bruckhaus Deringer and Allen & Overy (A&O) have landed roles on Heathrow Airport Holdings' (HAH) £750m bond issue.

Funds raised will be used to refinance the group's existing debt and strengthen its financing platform for its ongoing transformation programme, which includes next year's planned opening of the new terminal two, to be named 'The Queen's Terminal' (pictured).

Freshfields acted for HAH, fielding a team led by structured finance partner Marcus MacKenzie.

A&O advised the banks with a team led by structured finance partner Tim Conduit. The lead managers on the deal are Bank of America Merrill Lynch, Barclays, HSBC, National Australia Bank and Canada's RBC Capital Markets.

In a separate deal involving the airport group, Freshfields is advising Spanish infrastructure giant Ferrovial on the sale of 8.65% of its stake in HAH's owner FGP Topco for around £392m. Corporate partner Laurie McFadden is leading the team acting on the deal. 

Despite reducing its holding, Ferrovial remains HAH's main investor, retaining an indirect 25% stake in the group. 

The buyer, a subsidiary of Universities Superannuation Scheme, has instructed Clifford Chance, with M&A partner Brendan Moylan taking the lead.

Earlier this year HAH – formerly known as BAA – unveiled its new legal panel, with Berwin Leighton Paisner and Morton Fraser winning first-time appointments alongside longstanding advisers including A&O and Herbert Smith Freehills (HSF).

Pinsent Masons won positions on nine of the sub-panels, while Eversheds bagged six. Blake Lapthorn and HSF each landed five roles, and Freshfields took four places.