Morales & Besa advised the dealer managers in the tender offer of AES Gener

April 8, 2019

Morales & Besa successfully advised Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC,and Merrill Lynch, Pierce, Fenner & Smith Incorporated, acting as dealer managers in the tender offer of AES Gener S.A., a Chilean publicly traded open stock energy company, for its subordinated notes. Jointly with the tender offer, AES Gener S.A. announced a concurrent solicitation from the holders of the notes for shortening the minimum notice period for any redemption of the notes by the Company.

Simultaneously, and with the purpose of financing the cash tender offer and for other general corporate purposes, a new issuance of notes in international markets was issued. The notes were issued under Rule 144A and Regulation S of the Securitites Act of 1933 of the United States of America.

The transaction was challenging in a number of respects. First, a very aggressive timing. Within only one month the working group was able to launch and close a tender offer for the purchase in the open market of outstanding 2073 notes and, at the same time, place new notes to fund the purchase price of the tender offer and other corporate uses.

The Morales & Besa team that participated in the transaction was composed by partner Matías Langevin, senior associates Paloma Infante, Jaime Rosso and Josefa Rodríguez, and associates Verónica Vergara, Javiera Veloso and Benjamín Napadensky.