Subestacion eléctrica

COLBÚN TX: Alfa Desarrollo issues bonds to finance the acquisition of Colbún Transmisión

Bond issuance of US$ 1,098.6 million corresponding to the final acquisition of Colbún Transmisión with a Baa3 / BBB- rating by Moody’s and S&P

On September 9, 2021, Alfa Desarrollo, the acquisition vehicle to acquire Colbún Transmisión’s assets, priced its inaugural transaction in the international capital markets with it first bonds issuance. Previously, a 6-day virtual roadshow was held to answer questions and generate interest of 95 potential investors from North America, South America, Europe, and Asia.

After a first contact with the market offering a coupon of 5%, the book received orders worth 4.5 billion US dollars, quadrupling the necessary demand. Finally, after several market approximations, the fixed price of the bond was established at 4.55%, closing the operation on September 20.

Lastly, the issuance of bonds amounted to 1,098.6 million US dollars, the credit rating of the bonds was Baa3 / BBB- by Moody’s and S&P, respectively, and they were issued on the Singapore Exchange Securities Trading.