Initial Purchasers in $500 Million Senior Guaranteed Notes Offering by Sura Asset Management
April 17, 2014
Cleary Gottlieb served as counsel to BofA Merrill Lynch and Morgan Stanley in their capacity as initial purchasers in connection with the offering by SUAM Finance B.V., a finance subsidiary of Sura Asset Management (“SUAM”), the largest pension fund manager in Latin America, of $500 million of its 4.875% senior guaranteed notes due 2024. The transaction priced on April 10 and closed on April 17. The notes, issued in reliance on Rule 144A/Regulation S, are guaranteed on a senior basis by SUAM, a Colombian corporation, and four of its subsidiaries located in Chile, Mexico, Peru and Uruguay and will be listed on the Luxembourg Stock Exchange. The notes received a BBB+ rating from Fitch and a Baa2 rating from Moody’s.
SUAM is a Latin American company that participates through its operating subsidiaries in the mandatory pension funds, voluntary wealth management, and life insurance and annuities businesses in Chile, Mexico, Peru, Colombia, Uruguay and El Salvador. As of December 31, 2013, SUAM had 9,822 employees and had $113.2 billion in assets under management and 16.7 million clients, making it the leader in the pension fund business in Latin America, with a market share of 23.4% based on assets under management. SUAM’s largest shareholder is Grupo de Inversiones Suramericana S.A. (Grupo SURA).