COFIDE Announces Final Results of Tender Offer for Its 4.750% Notes Due 2025
COFIDE's Tender Offer Results
On May 1, 2025, Corporación Financiera de Desarrollo S.A. (commonly referred to as COFIDE) disclosed the expiration results and final details of its tender offer concerning the 4.750% notes maturing in 2025. This was a significant financial event for both COFIDE and its stakeholders, marking a strategic maneuver in the company's capital management efforts.
The tender offer was initially announced on April 25, 2025, specifying the terms and conditions for holders of the notes. According to the announcement, the deadline for submitting notes was set for May 1, 2025, at 5:00 p.m. New York City time. This specific time was crucial, as it denoted the cutoff for holders wishing to exchange their outstanding notes for payment.
As of the expiration date, a total of U.S. $165,493,000 worth of the 4.750% notes were successfully tendered. This amount represented approximately 47.37% of the total outstanding principal of U.S. $349,341,000. Such a high rate of participation indicates strong interest from noteholders in COFIDE's cash offer, likely reflecting trust in the company's market performance and future prospects.
COFIDE has committed to compensating the noteholders who participated in the tender offer with U.S. $1,000 for each U.S. $1,000 principal amount of notes tendered, alongside any accrued and unpaid interest up to the settlement date. The settlement date is anticipated to occur on May 6, 2025, following all necessary processes stipulated in the Offer Documents.
This tender offer was facilitated by the Tender and Information Agent, Global Bondholder Services Corporation, who provided guidance to investors, ensuring all procedures were conducted transparently and in accordance with securities regulations. Additionally, financial support was provided by Citigroup Global Markets Inc., Santander US Capital Markets LLC, and SMBC Nikko Securities America, Inc., acting as the dealer managers for the transaction.
COFIDE clarified that this announcement serves only as an informational release and should not be misconstrued as a solicitation for the purchase or sale of notes. Prospective and existing holders are encouraged to assess their positions independently, referencing the Offer Documents for comprehensive terms regarding the tender offer.
The management at COFIDE remains optimistic as it continues to enhance its stability and growth opportunities within the financial landscape. Such actions are indicative of the proactive measures taken to manage corporate debt effectively while fostering investor confidence.
In conclusion, the successful tender of nearly half of the outstanding notes showcases COFIDE’s robust engagement with its investors and marks a pivotal point in its ongoing financial strategy. Stakeholders will be closely monitoring the implications of these actions as the company progresses beyond the settlement date.