Milbank LLP advised the initial purchasers in the $650 million aggregate principal amount of 4.125% Senior Notes due 2027 by Cerro del Águila S.A., the owner and operator of the 525 MW hydroelectric power plant located in the Huancavelica region of Peru.
As part of the transaction, Cerro del Águila merged with Kallpa Generación to form the largest electric generator in Peru by volume of production. The proceeds of the notes will be primarily used to repay in full the $583 million limited recourse project financing for the construction of the Cerro del Águila Power Project.
The Milbank team was led by Global Capital Markets partner Carlos Albarracín along with special counsel Ben Garcia and associates Andres Osornio and Alexander Barlow. The team also included the head of Milbank’s Global Project, Energy and Infrastructure Finance practice Dan Bartfeld, as well as associates Jeffrey Leider and Genevieve Fox.
Mr. Albarracín said: “We are fortunate to continue to be involved in some of the most relevant energy transactions in Peru that combine our capital markets and project finance and energy expertise. This will pave the way for other single asset energy companies to tap the capital markets to finance or refinance large scale energy projects.”
Mr. Bartfeld added: “We are pleased that leading energy companies like IC Power, and the initial purchasers, call upon us for support in their most important transactions in the Latin American power, energy and infrastructure market.”
