Ministry conducts 10-year bond issuance under external financing program

The Ministry of Treasury and Finance has authorized Bank of America, BBVA, Citigroup, and J.P. Morgan to conduct a 10-year (January 2035) U.S. dollar-denominated bond issuance as part of the 2024 external financing program. A liability management transaction will also be conducted simultaneously with the new bond issuance.

The statement indicated that six U.S. dollar-denominated bonds currently trading in international capital markets with maturities between 2024 and 2026 will be exchanged for the newly issued bond or repurchased for cash. It was stated that the liability management transaction will be carried out tomorrow.

It was noted that investors must notify the authorized banks regarding the amount of exchange or repurchase they are requesting for each bond, based on the prices determined for the bonds to be repurchased and the initial benchmark information announced for the new bond. The tender offer period will end on the same day.

The pricing of the new bond will be determined at the end of the demand collection period for the liability management and the new issuance. While the initial results of the transaction are planned to be announced on September 26, the process regarding the liability management transaction will be completed on October 1. It was reported that the final results for both transactions will be shared with the public on October 3.

News Source: AA