08.11.2013, 20:53
LATAM Airlines Announces Placement of 144A/Reg S Securitized Bond
OREANDA-NEWS. LATAM Airlines Group priced a securitized bond in the amount of USUSD 450,000,000.- (Four hundred and fifty million dollars). The securitization comprises the flows of its airfare and cargo airway bill sales in the United States of America and Canada expressed in Dollars of United States and in Canadian Dollars (securitization of future flow receivables), made by certain foreign institutions operating credit card systems in the United States of America and through which payment of such and airway bill sales are carried out in that country. We highlight, that the cargo airway bill sales with credit card systems are performed only in the United States and in dollars of United States of America. The bond has a 7 year maturity (a 2 year period of interest only, 5 years of amortization, and a duration of 4,75 years). The offering is 144A/Reg S. The securitized bond coupon is 6.0 %. The settlement and reception of funds occurred on November 7, 2013. The assignee society of the new financing is a company especially incorporated for this purpose in the Cayman Islands named Guanay Finance Limited. The Company mandated Citigroup Global Markets Inc. and Merrill Lynch, Pierce, Fenner & Smith Inc. to implement this transaction.
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