Bladex Makes Strong Debut in Capital Markets with $200 Million AT1 Notes Offering

Bladex's Successful Capital Market Debut

Bladex has successfully made its entrance into the international capital markets by pricing its inaugural Additional Tier 1 (AT1) capital offering, raising a substantial $200 million. This offering has caught the attention of a wide range of global institutional investors, showcasing the strong demand for this financial instrument.

Overview of the AT1 Notes

These AT1 notes are structured as perpetual, non-cumulative instruments, set with an initial call date seven years from now. The notes were priced with an attractive 7.50% coupon, reflecting a competitive positioning in the current market environment. Notably, the transaction was oversubscribed by more than three times, indicating robust confidence from investors in Bladex's operations and future prospects.

Significance of the Offering

This landmark offering marks a pivotal moment for Bladex as it diversifies its funding sources and optimizes its capital structure to meet ongoing regulatory requirements. The issuance aligns with the Basel III framework and will significantly enhance Bladex's capital base, which is crucial for supporting future loan growth. Furthermore, maintaining capitalization levels well above regulatory standards underlines the bank's commitment to sound banking practices.

Statements from Leadership

Jorge Salas, CEO of Bladex, commented on this milestone, stating, "This issuance signifies a major step in Bladex's transformation journey, broadening our access to new investor pools and reinforcing our long-term growth strategy. By strengthening our capital position, we will be better equipped to finance trade flows and serve our corporate clients across Latin America. The robust investor demand and oversubscription highlight the confidence in Bladex's vision as a trusted regional partner in trade finance."

Annette van Hoorde de Solis, CFO of Bladex, echoed these sentiments, emphasizing the positive outcome of this inaugural AT1 issuance. She remarked, "This successful launch broadens our access to global capital markets and enhances our financial flexibility. Thanks to the strong oversubscription, we were able to secure highly competitive pricing while raising essential resources to prudently expand our loan portfolio. We extend our gratitude to our Global Coordinators, Bank of America and J.P. Morgan, along with Jefferies as Bookrunner, for their exemplary execution."

Future Prospects

The issuance was adeptly managed by a team comprising Bank of America Securities and J.P. Morgan Securities, LLC as Global Coordinators, with Jefferies facilitating as Bookrunner. Bladex is currently rated BBB/Baa2/BBB by major rating agencies, highlighting its strong creditworthiness in the financial market.

Established in 1979 by the central banks of Latin America and the Caribbean, Bladex has a solid mandate to promote trade finance and economic integration in the region. Headquartered in Panama with representation in key markets such as Argentina, Brazil, Colombia, and Mexico, as well as an agency in the United States, Bladex connects institutional and corporate clients with financial solutions tailored to their needs.

With its shares traded on the New York Stock Exchange (NYSE: BLX) and the Mexican Stock Exchange, Bladex has established a robust shareholder base, including central banks, governmental entities, and various institutional and private investors across twenty-three Latin American countries. This latest capital offering undoubtedly positions Bladex for continued growth and innovation in the financial landscape of Latin America.