Two-tranche offering includes $650M 10-year bond and $350M 30-year bond; Milbank previously advised Cencosud in 2012 NYSE IPO and subsequent acquisition of Carrefour assets in Colombia
Milbank, Tweed, Hadley & McCloy advised leading Chilean retailer Cencosud (NYSE:CNCO) in a two-tranche $1 billion global debt offering.
Proceeds from the Rule 144A and Regulation S offering include a $650 million 10-year bond and $350 million 30-year bond which will be used for general corporate purposes including financing short- and long-term debt.
Marcelo Mottesi, head of Milbank’s Global Securities Group, led the team representing Cencosud.
“Few such highly rated borrowers – especially from Latin America – have tapped global capital markets for a 30-year term,” Mr. Mottesi said. “Milbank is pleased to participate in the first high-grade corporate offering of 2015 in the South American region.”
Cencosud operates a combination of popular department stores, home improvement and hardware stores, shopping centers, and supermarkets, primarily in Chile, Argentina, Brazil, Peru, and Colombia.
In addition to Mr. Mottesi, the Milbank team advising Cencosud included Tax partner Andrew Walker, and Securities associates Sam Badawi, Gladisley Sanchez, and Elizabeth McNichol.
Milbank has previously advised the company on several significant transactions that strengthened the retailer’s considerable presence in the largest economies in South America. In 2012 Mr. Mottesi represented Cencosud in its U.S. IPO on the New York Stock Exchange, part of a global offering that raised $1.3 billion – the largest IPO on record by a Chilean company. Later that year Milbank advised Cencosud in the $2.6 billion financing of its acquisition of all the Colombian assets of French multinational retailer Carrefour.
