Codelco in $1.3 Billion Debt Offering and Cash Tender Offer

February 6, 2019

Cleary Gottlieb represented long-standing client Corporación Nacional del Cobre de Chile (Codelco) in its $1.3 billion Rule 144A/Reg S debt offering of 4.375% notes due 2049.

Cleary also represented Codelco in two concurrent cash tender offers using the proceeds of the debt offerings to purchase (i) any and all of its outstanding 3.75% notes due 2020, 3.875% notes due 2021, and 3% notes due 2022 in an abbreviated five-day tender offer, and (ii) up to a specified principal amount of its 4.5% notes due 2023 and 4.5% notes due 2025 in a tender offer that included a waterfall feature giving priority to certain series of notes.

The debt and cash tender offers both launched on January 28, 2019. The debt offering is expected to close on February 5, 2019. The five-day cash tender offer is expected to settle on February 6, 2019. Citigroup Global Markets Inc., HSBC Securities (USA) Inc., J.P. Morgan Securities LLC, and Scotia Capital (USA) acted as initial purchasers for the bond offering and as dealer managers for the cash tender offers.

Codelco, a Chilean state-owned company, is the world’s largest copper producer.