Simpson Thacher acted for the Republic of Guatemala while Consortium advised Bank of America Merril Lynch and JP Morgan on the $700 million issuance.
The transaction was approved by the government of Guatemala and managed by the Ministry of Finance. It was Guatemala’s first issuance of debt securities in international markets since 2013. Proceeds of the offering will be used to pay interest and principal on its outstanding debt obligations and the remainder to finance social and investment programs, capital expenditures and general budget purposes.
Partner Jaime Mercado led the Simpson Thacher team which also included partner Rob Holo. Simpson Thacher provided international counsel to the Republic.
The Guatemala office of Consortium Legal provided local counsel to Bank of America Merril Lynch and JP Morgan as sole lead manager and bookrunner, respectively, of the issuance. Partner Alvaro Castellanos led the team working for the banks.
The banks worked with Shearman & Sterling as international counsel. The Republic retained Cuestas PPQ as local counsel.