The Province of Neuquén (the “Province”) has issued AR$1.100.000.000 of its secured treasury notes due 2020 with a variable interest rate equal to the BADLAR rate plus a 4.75% margin (the “Notes”).
The transaction, which closed on September 9, 2016, was carried out under the Medium Term Treasury Notes Issuance Program (Programa de Emisión de Letras del Tesoro de la Provincia del Neuquén vto. 2017/2020).
The Notes are secured by the assignment of federal tax coparticipation regime funds.
The Notes will be paid in 4 installments of 25% of the capital. The installments will be payable on December 20, 2019, March 20, 2020, June 20, 2020 and the final installment on the maturity date.
The placement of the Notes was successful considering the amount of the issuance, the interest rate of the Notes, and the market conditions at the time of the offering.
Cabanellas • Etchebarne • Kelly advised the Province of Neuquén, through partner Marcelo Etchebarne, member Antonio Arias, and associates Nicolás Aberastury and Lucía Farrando.
Tanoira Cassagne Abogados advised the Banco Provincia del Neuquén S.A., as arranger and main placement agent; Banco Macro S.A., and Banco de Galicia y Buenos Aires S.A. as co-arrangers; and Banco de Galicia y Buenos Aires S.A. and Macro Securities S.A. as co-placement agents, through partner Alexia Rosenthal and associates Ignacio Nantes and Tomás Lipka.