Celeo Redes Chile awarded America’s Transmission Deal of the year at PFI Americas Awards 2021

Celeo Redes Chile managed to structure an impressive deal with attractive terms as part of the purchase of a series of transmission assets.

Celeo Redes Chile, through Alfa Desarrollo consortium, closed a US$1.1 billion 144A/Reg S bond deal to back the acquisition of Colbun Transmission from Colbun for about US$1.3 billion. The notes due 2051 were priced to yield 4.55%. The deal had initial price talk in the low 5% range, before guidance was set at 4.5%, plus or minus 12,5 basis points, and the deal was launched at 4.55% before being priced at that figure.

The portfolio of assets acquired by Celeo Chile includes 899 km of transmission lines and 27 substations in the National Electric System (SEN) supplying transmission capacity to an area that includes the metropolitan area of Santiago and most of the country’s population. The projects will benefit from a 10-year fixed-payment O&M agreement signed with Celeo.