We advised on the granting of a syndicated loan to MSU Energy S.A. for US$222,000,000
Tavarone Rovelli Salim Miani TRSM advised MSU Energy S.A., and Bruchou & Funes de Rioja advised the Arrangers and Lenders, in the granting of a syndicated loan of US$ 222,000,000 (the “Loan”) by Industrial and Commercial Bank of China (Argentina) S.A.U., Banco de Galicia y Buenos Aires S.A.U., and Banco Santander Argentina S.A. (the “Arrangers”), together with Banco BBVA Argentina S.A., Banco Hipotecario S.A., Banco de la Nación Argentina, Banco de la Ciudad de Buenos Aires, Banco de Valores S.A., and Banco de la Provincia de Buenos Aires (collectively with the Arrangers, the “Lenders”).
The Loan, entered into on November 7, 2024, was disbursed by the Lenders on December 23, 2024, and the funds were successfully applied to the redemption of the portion of MSU Energy S.A.’s bonds not voluntarily exchanged for New Notes, maturing 2025 with an interest rate of 6.875% for an aggregate amount of US$ 600,000,000 (the “2025 Notes”). The Loan includes a 12-month grace period, matures in 2027, and is secured by a fiduciary assignment of receivables under certain Power Purchase Agreements (PPA).
Simultaneously, Tavarone Rovelli Salim Miani TRSM advised MSU Energy S.A., and Bruchou & Funes de Rioja advised the Initial Purchasers, Dealer Managers, and Local Placement Agents, in the issuance of a secured international bond at a 9.750% interest rate, maturing 2030, for an aggregate amount of US$ 400,000,000 (the “New Notes”), which consisted of (a) an exchange offer of the 2025 Notes, which were voluntarily tendered in exchange for New Notes for an aggregate principal amount of US$223,352,460 (the “Exchange Offer”); and (b) the issuance of additional New Notes for an aggregate principal amount of US$ 176,647,540 (the “New Money Issuance”).
The US$ 222,000,000 Loan, together with the New Money Issuance, were applied to the redemption of such nominal amounts of 2025 Notes not validly tendered and accepted for exchange pursuant to the Exchange Offer. Consequently, MSU Energy S.A. secured the necessary funding to refinance the entirety of its 2025 Notes and completed its complex refinancing process, significantly enhancing its long-term debt profile and strengthening its financial position for future growth.
Bruchou & Funes de Rioja‘s Banking & Capital Markets Department acted as external legal counsel to the Arrangers, Lenders, Initial Purchasers, Dealer Managers, and Local Placement Agents through its team led by partner José María Bazán, and associates Leandro Exequiel Belusci, Quimey Lía Waisten, Sebastián Pereyra Pagiari, Facundo Suárez Loñ, Malena Tarrío, and Teo Panich.
MSU Energy S.A. was advised internally by its General Counsel, Ezequiel Matías Abal.
Tavarone Rovelli Salim Miani TRSM acted as external legal counsel to MSU Energy S.A. through its team led by partner Francisco Molina Portela, and associates Eduardo N. Cano, Maria Pilar Ubertalli, Agustín Ponti, Juan Cruz Carenzo, and Ramiro Catena.
