Chile's Latin America Power issues USD-404m green bond

Santiago-based renewable energy producer Latin America Power (LAP) has issued USD 403.9 million (EUR 339.8m) 5.125% senior secured notes to refinance the debt tied to its wind farms in Chile.

The notes mature in 2033 and represent the first “high yield 100% green bond from Chile”, according to law firm Greenberg Traurig LLP, which served as US counsel to Inversiones Latin America Power Limitada in the issuance.

The proceeds are allocated to the refinancing of an outstanding debt consisting of 5.35% notes totalling USD 412 million and issued in 2017. The debt was related to the construction of LAP’s two wind farms with the combined installed capacity of 239.2 MW, the law firm said.

LAP operates the 193.2-MW San Juan and the 46-MW Totoral wind farms in Chile. These are the company’s only wind farms. Apart from them, LAP operates several small hydroelectric stations in Chile and Peru, according to its website.

Goldman Sachs & Co LLC and Citigroup Global Markets Inc were the initial purchasers in the issuance. The notes are listed on the Official List of the Singapore Exchange Trading Limited (SGX-ST), Greenberg Traurig said.

(USD 1.0 = EUR 0.841)

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