Chile’s Ps. 2.1 Trillion Debt Offering

Cleary Gottlieb represented Citigroup, Itaú BBA, and Santander, as initial purchasers, in the global offerings by the Republic of Chile (Chile) of its Chilean-law governed Ps. 1.3 trillion (approximately $1.4 billion) 5.8% bonds due October 1, 2029, and Ps. 800 billion (approximately $835.9 million) 6% bonds due April 1, 2033, each of which was comprised of a public offering in Chile and a concurrent offer and sale of bonds to eligible investors outside of Chile pursuant to Rule 144A and Regulation S.

Chile offered investors outside of Chile Ps. 59.02 billion of the 2029 bonds and Ps. 105.65 billion bonds due 2033.

The global offering launched on July 29, 2024, priced on July 30, 2024, and closed on August 1, 2024. Chile intends to invest an amount equal to the net proceeds from the sale of the 2029 bonds for general purposes of the government, and an amount equal to the net proceeds from the sale of the 2033 bonds to fund budgetary programs that qualify as “eligible social expenditures” under its sustainable bond framework.

Since January 2024, Cleary has represented the initial purchasers in the issuance by Chile of new Chilean-law governed bonds in excess of Ps. 4.07 trillion, which includes over Ps. 2.77 trillion in bonds featuring an ESG component.