COFIDE Announces Completion of its Tender Offer for Notes

Author: Henry Turner Updated: 05-01-2025 08:55 PM

COFIDE Completes Tender Offer for Outstanding Notes

Corporación Financiera de Desarrollo S.A. ("COFIDE") has successfully finalized its recent tender offer aimed at enhancing its financial strategy. This announcement, made as of 5:00 p.m. on the expiration date, marks a significant milestone for the company, as it sought to purchase all its outstanding 4.750% Notes due 2025.

Tender Offer Overview

On April 25, 2025, COFIDE initiated a cash tender offer, inviting holders of its outstanding Notes to participate. The completion of this offer is crucial as it plays a pivotal role in COFIDE's ongoing efforts to manage its debt effectively. The final tally indicated that a substantial amount of Notes were validly tendered by the expiration date.

Summary of Tender Results

According to the information provided by Global Bondholder Services Corporation, the results were promising. The total principal amount of Notes tendered reached U.S.$165,493,000, which is 47.37% of the total outstanding Notes. This significant participation underscores the confidence that investors have in COFIDE's future and business direction.

Details of the Tender Offer

For every U.S.$1,000 principal amount of the Notes tendered, participants will receive a total consideration of U.S.$1,000 plus accrued interest from the last payment date up to but not including the settlement date. COFIDE has committed to disbursing these amounts on the designated settlement date, further reflecting its dedication to fulfilling obligations to its investors.

Engagement with Financial Institutions

To facilitate this tender offer, COFIDE engaged seasoned financial institutions, including Citigroup Global Markets Inc., Santander US Capital Markets LLC, and SMBC Nikko Securities America, Inc. These entities served as dealer managers, ensuring that the tender offer was executed efficiently and effectively. Questions regarding the offer were addressed promptly through dedicated contact lines for participant convenience.

Future Implications for COFIDE

The successful completion of this tender offer marks a crucial step for COFIDE as it continues to optimize its capital structure and position itself for enhanced profitability. As the company navigates the dynamic financial landscape, such strategic decisions are instrumental to securing favorable terms in its financial operations.

Commitment to Stakeholders

COFIDE emphasizes that while the firm does not provide direct recommendations regarding the tendering of Notes, it encourages holders to carefully evaluate their options. The importance of making informed decisions cannot be overstated, especially in light of market conditions and individual financial strategies.

Frequently Asked Questions

What was the purpose of COFIDE's tender offer?

The tender offer aimed to purchase outstanding 4.750% Notes due 2025, helping the company manage its debt strategy effectively.

How much principal amount was tendered?

A total of U.S.$165,493,000 was tendered, representing 47.37% of the total outstanding Notes.

When is the settlement date for the tender offer?

The settlement date for the tender offer is set for May 6, 2025, when payments will be disbursed.

Who acted as dealer managers for the tender offer?

Citigroup Global Markets Inc., Santander US Capital Markets LLC, and SMBC Nikko Securities America, Inc. served as dealer managers during the tender offer.

Does COFIDE recommend holders to tender their Notes?

COFIDE does not provide recommendations on whether to tender Notes; holders are encouraged to make informed decisions based on their individual circumstances.

About The Author

Hi there, As a writer and financial specialist, Henry Turner is passionate about guiding people through the complex world of finance. Having worked in finance for many years, I am an expert at simplifying difficult financial ideas into understandable, useful insights for my blog and articles. My goal is to arm you with the confidence and information you need to make wise financial choices.

Writing for a number of financial blogs has allowed me to interact with readers from novice investors looking for fresh ideas to seasoned investors starting their financial journeys. My mission is to enable everyone to understand and access finance, so enabling you to confidently and clearly reach your financial goals. I appreciate you traveling with me toward success and financial literacy.

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