Petrobras Reopens $4 Billion in Bonds

Cleary Gottlieb represented long-standing client Petróleo Brasileiro S.A. (Petrobras) in its SEC-registered reopening of $1 billion principal amount of its 6.125 percent global notes due 2022, $2 billion principal amount of its 7.375 percent global notes due 2027 and $1 billion principal amount of its 7.250 percent global notes due 2044.

The notes were issued by Petrobras’ Dutch finance subsidiary, Petrobras Global Finance B.V., and are unconditionally and irrevocably guaranteed by Petrobras. The notes are listed on the New York Stock Exchange. The offerings priced on May 15, 2017, and closed on May 22, 2017.

PGF intends to use the net proceeds from the sale of the notes toward the redemption price of its existing 2.750 percent global notes due January 2018, 5.875 percent global notes due March 2018 and 4.875 percent global notes due March 2018, to repay other existing indebtedness and the remainder, if any, for general corporate purposes.

The firm has been representing Petrobras for many years in significant SEC reporting, corporate governance, financing and litigation matters.