Petrobras in €1.85 Billion and £700 Million SEC-Registered Multi-Tranche Notes Offerings
December 12, 2011
Cleary Gottlieb served as special United States counsel to Petróleo Brasileiro S.A. (“Petrobras”) in two SEC-registered offerings of €1.85 Billion and £700 Million aggregate principal amounts of guaranteed senior notes. The notes were issued in three tranches by Petrobras’ finance subsidiary, Petrobras International Finance Company (PifCo), and listed on the Luxembourg Stock Exchange. The proceeds of this multi-tranche offering will be used for general corporate purposes, including financing Petrobras’ planned capital expenditure and maintaining an adequate capital structure under its 2011-2015 Business Plan. According to media reports, this was the first pounds sterling denominated bond issue for a Brazilian company in the last 10 years.
The notes are unconditionally and irrevocably guaranteed by Petrobras, and the terms of the notes are as follows:
- €1.25 Billion of PifCo’s 4.875% Global Notes due 2018
- €600 Million of PifCo’s 5.875% Global Notes due 2022
- £700 Million of PifCo’s 6.250% Global Notes due 2026
Settlement of the euro and the pounds sterling notes occurred on December 9 and December 12, respectively.