Click here for Pulp & Paper Radio International
The Paperitalo Library
Free Downloads
My Profile
Masisa Issues Bonds for UF 2.5 Million (USD 88 Million)
Santiago, Chile, 07 June 2007 -- /PRNewswire/ -- Masisa S.A. (NYSE:MYS), the leading furniture and interior architecture board production and marketing company in Latin America, secured its medium- and long-term financing by issuing bonds amounting to UF 2,500,000 (equivalent to USD 88 million). The transaction was arranged by IM Trust, a local investment bank.

The F and G series bonds for UF 500,000 (equivalent to USD 17.6 million) each have a 5-year term, and the H series bonds for UF 1,500,000 (equivalent to USD 52.8 million) have a 21-year term, and were sold on the Santiago Stock Exchange at annual rates of 3.73%, 3.72%, and 4.64% for the F, G, and H series, respectively.

The spreads over the bonds of the Chilean Central Bank were 80 bps for the F and G series and 114 bps for the H Series

The total demand exceeded UF 5,950,000 (equivalent to USD 209.4 million), i.e., 2.38 times the offering. This issue is the first corporate bond issue made after the announcement of the extension of the foreign investment limits applicable to the Chilean pension fund companies (AFPs).

This transaction is part of the company's plan to refinance its A series bonds placed in 2003.

The placement conditions obtained by Masisa largely reflect the market's good perception of the company, its industry and its sound financial condition.

Enrique Cibie, Masisa's CEO, expressed his satisfaction regarding the excellent conditions the company obtained in the placement, which to a large extent reflect the favorable market perception of the company's outlook.

The issue was mainly purchased by institutional investors, including pension funds, insurance companies, mutual funds, banks, stockbrokers, and asset managers.

Source: Masisa

Related Articles:

Powered by Bondware
News Publishing Software

The browser you are using is outdated!

You may not be getting all you can out of your browsing experience
and may be open to security risks!

Consider upgrading to the latest version of your browser or choose on below: