Carey and Holland & Knight advise IDB Invest and responsAbility on green bond issuance in Chile and Colombia
Carey and Holland & Knight advise IDB Invest and responsAbility on Royal America’s green bond issuance in Chile and Colombia
Carey and Holland & Knight advised IDB Invest and responsAbility Investments in Royal America’s inaugural green bond issuance in Chile and Colombia, a key transaction aligned with the Green Bond Principles of the International Capital Market Association (ICMA). Garrigues acted as local counsel to Royal America.
IDB Invest and responsAbility Investments participated as purchasers in a dual-tranche green bond issuance made under Section 4(a)(2) of the U.S. Securities Act of 1933. The bonds were issued by Arrendamiento de Máquinas Royal Rental and Royal Rental Colombia, and guaranteed by Multitécnica and Royal America Internacional.
The issuance was structured in two tranches. Tranche A, denominated in Chilean pesos, for up to USD 16 million, allocated to Arrendamiento de Máquinas Royal Rental, while tranche B, for up to USD 10 million, allocated to Royal Rental Colombia.
The transaction is an important step in the decarbonization of the logistics sector in Latin America, particularly in the food supply chain. By financing the replacement of fossil fuel-powered machinery with electric alternatives, the initiative contributes to a significant reduction of the environmental footprint in logistics operations throughout the region.Legal teams involved in the transaction included:
From Carey_counsel to IDB Invest and responsAbility_, partner Felipe Moro (pictured left) lead the transaction, along with associates Felipe Reyes and Felipe Dalgalarrando, advising on Chilean law matters.
From Holland & Knight _New York law counsel to IDB Invest and responsAbility_ partner Stephen Double (pictured center) and associate Lucia Viboud Aramendi headed the cross-border legal counsel for the transaction.
From Garrigues (local counsel to Royal America) the team was led by partner Jaime de Larraechea (pictured right) with support from associate Fernanda Jara.
In-house counsel included Daniela Rossi (Royal America), Olga Egorova (responsAbility) and from IDB Invest, Franklin Mendoza (team leader) and Juliana Soares advised the deal.
Carey, Holland & Knight, IDB Invest, responsAbility, Royal America, green bond, issuance, Chile, Colombia, environmental, footprint, Stephen Double, Lucia Viboud Aramendi, Felipe Moro, Felipe Reyes, Felipe Dalgalarrando, Jaime de Larraechea, Fernanda Jara, Daniela Rossi, Royal America, Olga Egorova, Franklin Mendoza, Juliana Soares
