Celeo Redes sells private bond to sole buyer AllianzGI

09 December 2019 - 12:00 am UTC

Transmission line holding company Celeo Redes raised USD 375m through a 4(a)(2) registered bond, said three sources briefed on the situation.

The financing is associated with a three-project portfolio in Chile: the construction of two greenfield projects and to refinance a third asset already operational. The sources did not disclose the total value of the portfolio.

AllianzGI was the sole buyer of the 30-year, investment grade notes, said all of the sources. The issuer and the investor negotiated the transaction directly, without the services of a placement agent.

The transaction, closed in early December, features delayed draws.

The bond is backed by cash flow generated by the transmission lines, which are owned by the sponsor in perpetuity. The sponsor will receive fixed payments during the first 20 years, and later the payments could change every four years, subject to review of the power transmission system in Chile.

Astris Finance served as financial advisor to Celeo Redes.

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