Mexico in $3 Billion Tender Offer and New Issue

April 10, 2006

Cleary Gottlieb represented the government of Mexico in its $3 billion invitation for offers to sell bonds for cash. The tender offer was a modified Dutch auction targeting 25 outstanding series of Mexico’s debt securities denominated in several different currencies. A $3 billion benchmark bond maturing in 2017 was issued under Mexico’s medium-term note program to finance the offer.

The transaction, which was targeted at investors in the U.S., Asia and Europe, aimed to consolidate Mexico’s obligations around fewer but more liquid issues, and to continue to shift the sovereign’s investor base toward the high-grade market. Goldman Sachs and Morgan Stanley acted as joint dealer managers of the tender offer and underwriters of the new issue, with Citibank, N.A., London Branch acting as depository.