Mallplaza Launches IPO

Cleary Gottlieb is representing Inversiones Avenida Borgoño Ltda., Rentas Tissa Ltda. and Inversiones Amal Ltda. (collectively, the selling shareholders) in the initial public offering of 240 million common shares of Plaza S.A. (Mallplaza), representing 12.24 percent of Mallplaza’s share capital, which launched on July 12, 2018.  

The transaction priced on July 26, 2018, and is expected to close on July 31, 2018.  

The IPO consists of a secondary offering that is expected to raise approximately Ch$343.4 billion (approximately $529.1 million). Following the IPO, the selling shareholders will retain a 28.39 percent ownership interest in Mallplaza. The shares are being offered to the public in Chile, in the United States under Rule 144A and internationally under Regulation S. J.P. Morgan and Morgan Stanley are acting as joint global coordinators and joint bookrunners. Goldman Sachs & Co. LLC is acting as joint bookrunner.

Mallplaza is one of the largest mall operators in Latin America. Mallplaza’s portfolio consists of 21 malls across Chile, Peru, and Colombia with a collective gross leasable area of 1.60 million square meters. Mallplaza has an additional two shopping centers under construction in Colombia, which are expected to open in 2018 and 2019, and an additional shopping center under development in Peru, which is expected to open in 2020.