Transportadora de Gas del Sur S.A.’s $490 Million Global Bond Offering and Concurrent Tender Offer

Cleary Gottlieb represented Citigroup Global Markets Inc., Itau BBA USA Securities Inc., J.P. Morgan Securities LLC, and Santander US Capital Markets LLC as initial purchasers in an offering by Transportadora de Gas del Sur S.A. (TGS) and as dealer managers in TGS’s concurrent tender offer.

The transaction consisted of a Rule 144A/Regulation S offering of $490 million of TGS’s 8.5% senior notes due 2031 and a concurrent offer to purchase for cash any and all of TGS’s outstanding 6.75% senior notes due 2025.

The offering launched on July 15, 2024, priced on July 18, 2024, and settled on July 24, 2024. The tender offer launched concurrently on July 15, 2024, and expired on July 19, 2024. The notes are expected to list on the Bolsa y Mercados Argentina S.A. (BYMA) for trading on the BYMA and on the Mercado Abierto Electrónico S.A.

TGS is currently the largest transporter of natural gas in Argentina and operates the most extensive pipeline system in Latin America in terms of length. TGS is also one of the largest processors of natural gas and one of the largest marketers of liquids in Argentina, and provides telecommunication services through a subsidiary.