Telecom Argentina in $500 Million New Money Offering

Cleary Gottlieb is representing Telecom Argentina S.A. (Telecom) in its offering of $500 million 9.5% senior amortizing notes due 2031 (the new money notes), concurrent capped cash tender offer, and concurrent capped exchange offer.

The new money notes were offered in a private placement in the United States pursuant to Rule 144A and outside of the United States pursuant to Regulation S. The issuance launched on July 8, 2024, priced on July 11, 2024, and closed on July 18, 2024.

The related transactions consist of an offer to purchase for cash up to $100 million of Telecom’s outstanding 8.5% senior amortizing notes due 2025. The early tender deadline for the tender offer is expected to occur on July 19, 2024, and the final expiration of the tender offer is expected to occur on August 5, 2024.

Upon the pricing of the new money notes, Telecom launched an offer to exchange up to $200 million of Telecom’s outstanding 8% senior notes due 2026 for newly issued 9.5% senior amortizing notes due 2031, constituting an issuance of additional new money notes. The exchange offer launched on July 11, 2024, the early participation deadline is expected to occur on July 24, 2024, and the final expiration of the offer is expected to occur on August 8, 2024.

Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Santander US Capital Markets LLC, BBVA Securities Inc., BCP Securities Inc., Latin Securities S.A., Agente de Valores, and UBS Securities LLC acted as dealer managers for the tender offer and exchange offer, and as initial purchasers for the offering of the new money notes.

Telecom is a leading telecommunications company in Argentina, where it offers its customers “quadruple play” services, combining mobile telephony services, cable television services, internet services, and fixed telephony services, among others. Additionally, Telecom Argentina offers mobile, internet, satellite TV, and other services in Paraguay; cable television services in Uruguay; cybersecurity services in Chile; and fixed wholesale services in the United States.