Hogan Lovells acts for Ecuador, Petroamazonas on securities consent solicitations
Hogan Lovells has represented the Republic of Ecuador and its wholly-owned energy company Empresa Pública de Exploración y Explotación de Hidrocarburos Petroamazonas on their solicitation of consents to amend various series of securities.
The securities, issued by the Republic of Ecuador, were in an aggregate principal outstanding amount of approximately $19 billion, and a series of securities issued by the energy company were in an aggregate principal outstanding amount of approximately $175 million.
The consent solicitations were successful and the amendments went into effect with the approval of between 82.2 per cent and 98.9 per cent of noteholders of each series of securities.
The amendments have provided short-term relief from certain of Ecuador’s and Petroamazonas’s financial obligations, while the Ecuador implements steps to address its public finances, as well as rendering its outstanding debt obligations sustainable.
Hogan Lovells represented Ecuador, a long-time client, throughout the process, including the structuring and documentation.
The firm and has also represented Ecuador in many of its international financing matters in the past, including a $400 million financing in February 2020 and a $2 billion bond offering in 2017.
Hogan Lovells partners that led the team were New York capital markets partner Evan Koster (pictured); Latin American Practice Group co-head, Houston finance partner Bruno Ciuffetelli; Miami-based finance partner Gaston Fernandez; Miami finance partner Latin America Practice Group co-head José F. Valdivia III, and New York business restructuring and insolvency US co-head partner Ron Silverman.
The team also included New York business restructuring and insolvency counsel Philip H. Ehrlich, Miami international energy advisor Pedro Martinez Rubi, New York capital markets senior associate Flavio Averbug, and New York associate Juan D. Moreno.
