Cariola counsels EFE railway company on 500m bond issue

Cariola Díez Pérez-Cotapos has advised EFE, Chile’s autonomous railway company, on its USD 500 million senior bond issuance

 Chilean law firm, Cariola Díez Pérez-Cotapos has counselled Empresa de los Ferrocarriles del Estado (EFE), the Chilean autonomous railway company, in connection with a $500,000,000 US dollar senior bond issue maturing in 2061.

The bonds were initially purchased by Santander Investment Securities Inc. and Scotia Capital (USA) Inc. as joint bookrunners and initial purchasers, and subject to a base indenture between EFE and The Bank of New York Mellon, as trustee, registrar, paying agent and transfer agent. The transaction closed on 14 September.

The proceeds will be used to finance the company’s investment projects and for general corporate purposes. This is the first 40-year term notes issued by a Latin American transportation company in the international markets and also the first Chilean state-owned company to issue 40-year term notes in the international markets.

Skadden, Arps, Slate, Meagher & Flom LLP acted as international legal counsel to the issuer, Davis Polk & Wardwell LLP as joint bookrunners and international counsel to the initial purchasers, and Garrigues Chile as joint bookrunners and local counsel to the initial purchasers.

Cariola’s team consisted of partner Rodrigo Sepúlveda (pictured left), senior associate Sergio Balharry (pictured top right) and associate Glen Rybertt (pictured bottom left).