Toronto, November 17, 2025 — Canada Development Investment Corporation (CDEV), through its subsidiary, Canada Enterprise Emergency Funding Corporation (CEEFC), is pleased to confirm that Algoma Steel Inc. has completed its financing transaction providing $400 million in federal financing as part of a $500-million package supporting the company. This concludes the loan announced September 29, 2025, and helps to stabilize a major Canadian player in the competitive global steel industry, amid current tensions in the global steel trade.
CEEFC’s loan is subject to the issuance of 6.77 million common share purchase warrants, vesting as unsecured draws are made, that allow CEEFC to participate in a recovery in share price facilitated by the provided liquidity.
This transaction, the first of the Large Enterprise Tariff Loan (LETL) facility, underscores our commitment to supporting Canada’s steel industry and more broadly large Canadian enterprises affected by current global trade pressures.
The LETL facility is designed to protect Canadian jobs, business operations, and investment activities in the face of actual and potential tariffs and countermeasures. LETL provides liquidity to otherwise viable businesses, while protecting taxpayer interests. Companies interested in applying for the LETL facility can assess their eligibility and submit an enquiry form to CEEFC via the CEEFC website at https://ceefc-cfuec.ca/
For more information about this transaction, read the news release from Algoma Steel Inc.
Quick facts
- Established in 2020 by CDEV, CEEFC currently manages the Large Employer Emergency Financing Facility (LEEFF) program in response to the economic impact of the COVID-19 pandemic and the Large Enterprise Tariff Loan (LETL) facility to support large Canadian enterprises affected by actual or potential tariffs and countermeasures.
- The LETL facility was launched on April 15, 2025. On July 16, 2025, the Government of Canada announced that the program was updated to expand eligibility and provide lower cost financing to firms in the steel industry. On September 5, 2025, the Government of Canada announced that additional flexibility is provided through the LETL facility to all industries.
- CDEV provides the Government of Canada with specialized financial advisory around the country’s most complex and diverse commercial interests. For over 40 years, CDEV, a federal Crown corporation reporting to the Minister of Finance, has been the entity of choice for critical financial transaction needed to help Canada achieve its goals and maximize the value of government corporate assets.