The Empresa de Transmisión Eléctrica de Panamá issued debt securities for 30 years at a 5.125% interest rate.

The bonds have a deadline in May 2049, i.e. 30 years from the date of issue and will have a grace period on capital payments of 15 years, informed the institution.

See “State-owned Electric Plant Begins to Promote Its Bonds” and “State Electric Company to Issue $750 Million in Debt”

From Etesa’s statement:

Empresa de Transmisión Eléctrica, S.A. (Etesa) successfully made its first issue of corporate bonds under the format Rule 144A and Regulation S, for $500 million dollars that will be used to cancel current short-term debt for the same amount.

The issuance process began at 8:38 a.m. in New York City, in which 145 investors offered US$2,407 million, which corresponds to 4.88 times the amount offered. This allowed the operation to be completed at a 5.125% interest rate and a 5.125% yield rate.

“This transaction marks a before and after for the company, positioning us as an international issuer with investment grade ratings. This is the materialization of one of the most important components of the financing strategy that we have been managing since August 2017″, said Gilberto Ferrari, general manager of ETESA.

Read full article (In Spanish).