Simpson Thacher instructed on Marfrig’s $750 million note offering

Simpson Thacher advised the initial purchasers on a $750 million note offering by food producer Marfrig.

Marfrig is the third-largest Brazilian food processing company. The company is headquartered in São Paulo and it operates in 22 countries.

The 7% Senior Notes due 2024 were issued by subsidiary MARB BondCo plc. The Notes are unconditionally and irrevocably guaranteed by Marfrig Global Foods, Marfrig Overseas and Marfrig Holdings. The offering was conducted in reliance upon Rule 144A and Regulation S under the U.S. Securities Act of 1933.

BB Securities, Banco Bradesco, HSBC Securities, Morgan Stanley and Santander Investment Securities were the initial purchasers and instructed Simpson Thacher. The firm also advised the same investment banks acting as dealer managers in connection with concurrent tender offers to purchase for cash from each registered holder any and all of the outstanding (a) 8.375% Senior Notes due 2018 issued by Marfrig Holdings, and (b) 9.5% Senior Notes due 2020 issued by Marfrig Overseas. The tender offers expired on March 29, 2017, and the final settlement for the tender offers occurred on March 30, 2017. Approximately US$346 million in aggregate principal amount of Notes were validly tendered.

Partner Grenfel S. Calheiros led the Simpson Thacher advising the investment banks.

Ignacio Abella