$300 Million Global Bond Offering by Kio Networks

April 27, 2018

Cleary Gottlieb represented Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Santander Investment Securities Inc. as initial purchasers in the second global bond offering by Kio Networks.

The transaction consisted of an offering of $300 million 7.500 percent senior notes due 2025 sold by Kio Networks and guaranteed by several of its Mexican subsidiaries. The proceeds of the offering are going to be used to redeem Kio Network’s outstanding 8.250 percent senior notes due 2021 and for general corporate purposes. The bond offering was conducted as a private placement under Rule 144A of the Securities Act of 1933 and outside of the United States in reliance on Regulation S. The transaction priced on April 26, 2018, and it is expected to settle on May 2, 2018.

Kio Networks is a leading provider of IT outsourcing services in Mexico, with a growing presence throughout Latin America. It provides a comprehensive set of infrastructure IT services to public and private sector customers, including hosting services, corporate and national security outsourcing services, data back-up and storage, colocation services, cloud computing and on-site support services. Kio Networks has a portfolio of 29 state-of-the-art data centers in 11 technological campuses in Mexico, Panama, Guatemala, the Dominican Republic, and Spain, as well as eight EDGE data centers throughout Mexico.