Alpek’s $500 Million Offering

Cleary Gottlieb represented Citigroup Global Markets Inc., HSBC Securities (USA) Inc., J.P. Morgan Securities LLC, and MUFG Securities Americas Inc., as initial purchasers, in a debt offering of $500 million 4.25% senior notes due 2029 issued and sold by Alpek S.A.B. de C.V. (Alpek), which were guaranteed by several of its subsidiaries located in Mexico and the United States.

The offering was conducted as a private placement under Rule 144A of the Securities Act of 1933 and outside of the United States in reliance on Regulation S. The transaction priced on September 11, 2019, and is expected to close on September 18, 2019. Alpek will use the proceeds of the offering for general corporate purposes, which may include the repayment or retirement of indebtedness.

Alpek, a subsidiary of Alfa (a large Mexican conglomerate) and one of the largest petrochemical companies in Mexico and Latin America, is involved in the production, marketing, and sale of petrochemical products. Its products serve the food and beverage packaging, textile and industrial filaments, consumer goods, automotive, construction, agriculture, oil industry, and pharmaceutical end markets.