Linklaters Advises Latin American Bank on $350 Million Diversified Payment Rights Sustainable Transaction
We advised a Latin American bank (the “Bank”) in connection with the issuance by a special purpose company (the “SPC”) of $350,000,000 aggregate principal amount of additional fixed rate notes (the “Notes”), pursuant to a supplemental indenture to an amended and restated indenture between the SPC and the program agent (the “Program Agent”). The Notes were offered pursuant to Section 4(a)(2) of the U.S. Securities Act of 1933.
The SPC will use the proceeds from the Notes to make additional payments as purchase price to the Bank for certain US dollar-denominated existing and future diversified payment rights (the “DPRs”). The DPRs are being processed by designated depository banks that have executed account agreements under which they are irrevocably instructed to make payments to an account controlled by the Program Agent. The Bank will use the proceeds from the sale of the DPRs to the SPC to finance or refinance eligible green projects in accordance with the Bank’s sustainable finance framework.
The Linklaters deal team was led by counsel Alejandro Gordano (Capital Markets, New York), partner Matthew Poulter (Capital Markets, São Paulo) and partner Michael Bassett (Banking, New York), alongside partner Jonathan Ching (Capital Markets, New York), counsel Catherine Russ (Capital Markets, New York), counsel Gabriel Grossman (Tax, New York), associate Juan Mata (Capital Markets, New York), and foreign attorneys Mario Lercari (Capital Markets, New York) and Andrei Andrade (Corporate, New York).