Comisión Federal de Electricidad’s Bond Offerings Totaling $1.7 Billion
October 20, 2016
Cleary Gottlieb represented long-time client Comisión Federal de Electricidad, the Mexican state-owned electric company, in three recent bond offerings totaling $1.7 billion.
The offerings consisted of:
- CFE’s $1.0 billion offering of its 4.750 percent notes due 2027, which closed on October 18, 2016. BBVA, BofA Merrill Lynch and Citigroup acted as joint lead managers and joint bookrunners. The proceeds from this offering will be used for working capital and general corporate purposes.
- CFE’s $300 million private placement of its 4.39 percent notes due 2036, which closed on September 29, 2016. Morgan Stanley acted as placement agent in the offering.
- CFE’s $375 million offering of its 5.00 percent notes due 2036, which closed on October 19, 2016. HSBC and Morgan Stanley acted as joint lead managers and joint bookrunners.
The proceeds of the 2036 offerings will be used to pay for long-term infrastructure projects (PIDIREGAS), including a solar field and other electricity generation projects in Mexico.