Several firms counsel Nexa on $600m offering
Several firms in the US, Brazil, Peru and Luxembourg have counselled on the international offering of bonds issued by Nexa Resources, a Luxembourg-based mineral resources company, which has enabled the company to raise up to USD 600 million.
The senior unsecured notes mature in 2034 and bear interest at an annual rate of 6.75%. The notes are guaranteed by Nexa Resources Cajamarquilla (Peruvian subsidiary) and Nexa Recursos Minerais (Brazilian subsidiary).
The notes were offered to qualified institutional buyers pursuant to Rule 144A under the US Securities Act of 1993, as amended, and to non-US persons pursuant to Regulation S under the Securities Act.
The company will use the proceeds to fund a cash tender offer for its existing notes due 2027 and notes due 2028 that are the subject of a valid tender offer and accepted pursuant to tender offers announced on 1 April 2024, with the remainder, if any, for general corporate purposes, including liability management operations.
Rebaza Alcázar & De Las Casas, Machado Meyer and Simpson Tacher acted as counsels to the initial purchasers in Peru, Brazil and the United States, respectively; while Cleary Gottlieb, Elvinger Hoss Prussen, Pinheiro Guimarães and Estudio Rodrigo Elías & Medrano acted as counsel to the issuer in the United States, Luxembourg, Brazil and Peru, respectively.
The banks acting as initial purchasers were BBVA Securities, Citigroup Global Markets, HSBC Securities (USA), Morgan Securities, MUFG Securities Americas, Mizuho Securities USA, Santander US Capital Markets and Scotia Capital (USA).
Nexa Resources is a large-scale, low-cost integrated zinc producer with over 60 years of experience in the development and operation of mining and smelting assets in Latin America, with significant mining operations in Peru and Brazil.
Rebaza Alcázar & De Las Casas’ team was led by partner Luis Miguel Elias (pictured left), with support from senior associates Josefina Arana and Fiorella Wismann, and associates Helga Irazola, Camila Briceño and Alvaro Luna Victoria.
Cleary Gottlieb’s team was represented by partners Francesca L. Odell (pictured centre, left) and Jonathan Mendes, and counsels Raisa Reggiori and Nicole Mueller.
Elvinger Hoss Prussen’s team included partner Karl Pardaens (pictured centre, right), attorney Cristina Benoig, senior associate Benoit Nerriec, and associates Lorenzo Cappelli and Octavio Lanzi.
RE&M’s team included partner Jean Paul Chabaneix (pictured right), and associates Sebastian Briceño, Jimena Ayala, Soleil Castro and Mariana Delgado.
