Cleary Gottlieb advises LATAM Airlines on US$800 million bond offering
Cleary Gottlieb has represented LATAM Airlines Group in its latest US$800 million global bond issuance. The offering consisted of 7.625% senior secured notes due 2031, issued by LATAM and guaranteed by certain of its subsidiaries. The transaction was carried out in the United States under Rule 144A of the Securities Act of 1933 and internationally under Regulation S. The deal launched on June 24, priced on June 26, and settled on July 7, 2025, marking a key step in LATAM’s ongoing financial strategy.
LATAM plans to use the proceeds from the offering, along with existing cash reserves, to redeem its US$700 million senior secured notes due 2029, which were originally issued as part of the company’s Chapter 11 exit financing.
Goldman Sachs & Co, Deutsche Bank Securities, and Santander US Capital Markets acted as lead bookrunning managers, while Barclays Capital, BNP Paribas Securities, Citigroup Global Markets, J.P. Morgan Securities, MUFG Securities Americas, and Natixis Securities Americas served as joint bookrunning managers.
LATAM and its subsidiaries form one of the largest airline group in Latin America, operating in five key domestic markets: Brazil, Chile, Colombia, Ecuador, and Peru. The group also offers extensive international services connecting Latin America with Europe, Oceania, the United States, and the Caribbean.
Cleary lead this transaction with partners Duane McLaughlin (pictured) and Jorge Juantorena and associates Ignacio Lagos, Carla Martini, Nicholas Pokas, Pedro Arango Montes, and Juan Ignacio Leguizamo. Counsel Victor Chiu advised on security interest matters. Partner Matthew Brigham, associate Kathy Zhang, and law clerk Michael Hughes advised on tax matters. Partner Amber Phillips and associate Jane Olin-Ammentorp advised on matters related to the Investment Company Act of 1940.
