Cleary Gottlieb counsels banks on Cemex bond offering
Law firm Cleary Gottlieb has represented initial purchasers BNP Paribas, Bank of America Merrill Lynch, Citigroup and Santander in a high-yield global debt offering by Mexican cement company Cemex.
The transaction consisted of an offering of €400 million ($452.3 million), 3.125 per cent senior secured notes due 2026 issued and sold by Cemex, and guaranteed by several of the company’s subsidiaries located in Mexico, the US, the UK, Spain, France, the Netherlands and Switzerland.
Cemex used the proceeds of the offerings for general corporate purposes, including to repay existing indebtedness. The offering was conducted as a private placement under Rule 144A of the Securities Act of 1933 and outside of the S in reliance on Regulation S.
Cemex is one of the largest cement companies in the world based on annual installed cement production capacity and one of the largest ready-mix concrete companies worldwide.
Cleary has been counsel in a number of Cemex-related matters, including as counsel to the bank steering committees in connection with the company’s restructuring of approximately $15 billion of Cemex’s debt in 2009, and further restructuring of approximately $7 billion in 2012. Since 2009, Cleary has acted as counsel to initial purchasers in connection with the issuance of approximately $19.5 billion in high-yield bonds and convertible debentures by Cemex.
The Cleary capital markets team included partner Duane McLaughlin and associates Manuel Silva and Rosa Parmose. All lawyers are based in New York.
