BLP advised IDB Invest on a Debt Capital Markets Program to support the issuance in the Panamanian market of $150 million in Sustainable Bondsby Banco Promerica de Costa Rica, S.A. IDB Invest acted as the issuer of a Partial Credit Guarantee for 30% of the Sustainable Bonds total issuance.
BLP advised IBD Invest in the granting of an unsecured senior loan in favor of Banco Davivienda of up to $100 million. The purpose of the loan is to develop Banco Davivienda’s financing portfolio in El Salvador for environmentally friendly projects (“green finance”).
BLP advised its client Inversiones Financieras Grupo Azul, S.A (“IFGA”) on the acquisition of the sharesof Banco G&T Continental El Salvador, S.A. and its subsidiary G&T Continental, S.A. de C.V., Casa de Corredores de Bolsa. Advice included everything related to the due diligence process on the target, the structuring of the transaction, the preparation of the share purchase agreement
BLP assistedIDB Invest in the granting of a line of creditof $96 million to Elcatex and San Juan Textiles, located in Honduras, to support economic development and export diversification in addition to promoting the financing of capital investments, working capital, and restructuring of liabilities to expand Elcatex’s production capacity.
BLP was the local advisor for IBD Invest in the negotiation and execution of the purchase and conversionof a liquefied natural gas(LNG) carrier to a floating storage and regasification unit (UFAR), for an approximate amount of $130 million. The UFAR will be permanently located in the port of Acajutla, Sonsonate, El Salvador, to provide LNG regasification services to the 378-megawatt combined–cycle thermal plant of Energía del Pacífico Limitada de C.V. (“EDP”), which IDB Investfinanced in 2019.
BLP advised Corporación Financiera de Desarrollo (DFC) in a direct loan to raise long-term funds in U.S. dollars through a diversifiedpayment rights securitization. The funds from the DFC loan will be used by Banco BAC San José, S.A. to extend credits to women borrowers who run small and medium-sized enterprises in Costa Rica.
BLP advised Gramercy Funds Management, an investment manager dedicated to emerging markets, in the granting of a $30 million secured senior loan to Ingenio San Rafael, to finance the construction of a new sugar mill that will be located in San Carlos, Costa Rica. This financing represents Gramercy’s first loan in Central America and is also the largest financial transaction in Costa Rica’s agroindustrial sector.
BLP advised Corporación Andina de Fomento (CAF) during the approval and execution of a $500 million loan to assist in the efforts of the Costa Rican Government to consolidate a public policy that ensures fiscal sustainability in the long term, improving the management of the tax system and greater efficiency in public spending.
BLP advised the seller, Grupo Orbis (Pintuco), on this regionally impactful transaction employing attorneys from each of our offices in Costa Rica, Nicaragua, Honduras, El Salvador, and Guatemala, as well as coordinating with lawyers in Panama. Besides conducting due diligence in the jurisdictions of Central America, BLP also analyzed the competition in each of the countries and if required will support any antitrust filings. Our consultancy covered the legal areas of business law, tax, labor, regulatory, intellectual property, compliance, competition, real estate, environment, and litigation.
BLP advised Avianca Holdings S.A. on a complex debtor-in-possession (DIP) financing following its successful petition for relief under Chapter 11 of U.S. Law.The BLP team advised Avianca on key aspects of the cross-border agreement in Costa Rica, Guatemala, Honduras, Nicaragua, and El Salvador. The transaction included a Tranche A secured senior loan, a Tranche B secured subordinated loan, and a buyback from Advent International of 30% in Avianca’s Bermuda subsidiary, LifeMiles Ltd, which operates one of the largest loyalty programs in Latin America.
BLP advised a banking consortium consisting of Banco Latinoamericano de Comercio Exterior, S.A., Banco Industrial, S.A., Westrust Bank (International) Limited, Banco Davivienda Salvadoreño, S.A., Banco Davivienda (Costa Rica), S.A., Banco Davivienda, S.A. (Panama), and Banco Davivienda, S.A. (Colombia) in a syndicated loan of up to $440 million for Investment Energy Resources Limited (a subsidiary of the CMI group) and its companies related to energy production issues in the Central American region. Similarly, the firm advised Corporación Multi Inversiones (CMI) through its subsidiaries in Honduras on the feasibility of guarantees for both transactions. This transaction involved multiple jurisdictions and is the region’s largest green bond issuance to date.
BLP advised Deutsche Bank and HSBC on the new issuance of $1 billion in 30-year Eurobonds after advising Bank of America, Merrill Lynch, and Deutsche Bank in the subscription and purchase of $1 billion in 7% sovereign bonds issued under Regulation S 144-A, payable by the Government of Costa Rica in 2044.
BLP advised Promerica Financial Corp. in the acquisition of Banco Citibank de Guatemala S.A. and three affiliated entities through which Citibank operates its banking and consumer business in Guatemala.
BLP advised the International Finance Corporation (IFC)on anagreement with the Municipality of San Jose for $12 million to finance infrastructure renovation projects in Costa Rica’s capital. The transaction combines financial support and technical advice over time in sustainable infrastructure, telecommunications, mobility, sustainable development, public-private partnerships, and digital solutions. This is the first transaction in which the IFC signed non-sovereign–backed financing for crucial infrastructure projects in Central America.
BLP represents the lenders of the Reventazónhydroelectric project, Central America’s main hydroelectric power plant (350MW), in all matters related to refinancing for its construction and operation. The financing involved the first bonds issued by the Costa Rican Electricity Institutefor a project in Central America, including a type A and B loan structure along with the issuance of type “B” bonds. For this transaction, BLP was awarded the “Central America Energy Deal of the Year“ accolade by IFLR.
BLP advised the Export and Import Bank of the United States, Banco Internacional de Costa Rica (BICSA), and the FMO (the investment agency of the Dutch Government) in the structuring, negotiation, and formalization of a $100 million loan agreement in favor of Globeleq Mesoamerica Energy (GME) for the construction in Costa Rica of the 50MW Orosi Wind Power Project which has an approximate cost of $130 million. This transaction was named“Financial Agreement of the Year for the Wind Power Sector in Latin America“ by Project Finance Magazine.
The BLP team advised Autopistas del Sol, a subsidiary of Globalvía,on the issuance of senior secured notes in international markets for $300 million, and $50.75 million within local markets. This is the first time that an infrastructure company has issued international and local bonds simultaneouslyin Costa Rica.
BLP advised BMR Energy, a subsidiary of Virgin Group, in the closing of the acquisitionof the Valle Escondido Solar Project, the only solar power projectof such magnitude in Costa Rica. Under the new structure, BMR Energy will assume the construction and operation of the Valle Escondido Solar Plant where it will produce up to 5MW of energy that will be sold to the Costa Rican Electricity Institute (ICE) under a Power Purchase Agreement.
BLP advised Agence Française de Développement (AFD) in its line of credit for up to $149 million to the Republic of Costa Rica as part of the “Protect Plan,” which will help mitigate the effects caused by the impact of the coronavirus in Costa Rica and contribute to the country’s progressive transition to net-zero greenhouse gas (GHG) emissions for 2050.
ESPH, a regional water distributor, suffered damages to its water supply arising from a faulty gas station. BLP obtained a landmark ruling by the criminal court, in which for the first time, environmental damages for groundwater pollution were recognized and granted.
BLP represents UBER in its operations and progressive incursion into the Central American market, successfully handling its affairs beforePublic Services Agencies, National Transportation Councils, Constitutional Chambers, Administrative Jurisdictions, and other government and judicial entities in all regional countries. The operation of UBER in Central America remains to date,the most high-profile legal case in the region.
In defense of a lawsuit filed by the Association of Free Consumers of Costa Rica, BLPobtained a historic resolution in favor of the banks of the National Banking System of Costa Rica, verifying the guidelines applied to ensure information had been correctly implemented.
BLP advised Calibre Mining in the organization of several joint venture agreements with CenterraGold and I Am Gold on the exploration process of multiple concessionsowned by Calibre Mining and the regulatory approvals for such concessions. Additionally, the firm organized the negotiations and drafted the contracts of its client Hemco with Nicaraguan mining cooperatives.The model structured by BLP is being replicated by the mining regulator in Nicaragua.
BLP advised Amazon Web Services (AWS)on the launchof its first operation in Central America, based in Costa Rica. The firm’s services included configuration of the corporate structure, application to the Free Zone Regime, advice on labor matters, and the obtaining of all licenses needed for its operation in the Latin American market.
The Mexican group Mobility ADO, a global expert in public transportation thatcarries more than 500 million passengers a year in America and Europe, acquired, with the advice of BLP, the remaining 60% of the Costa Rican transport company Tica Bus, completing an acquisition of the company and its related entities in Costa Rica, Panama, Nicaragua, Honduras, El Salvador, Guatemala, and México. BLP continues to advise Mobility ADO in its day-to-day activities throughout the Central American region.
BLP advised Pellas Development on therealization of Hotel Dreams Las Mareas, a 440-room hotel with an investment of $130 million. The firm continues to advise Pellas Development on theplanning and acquisitionof land for the development of the Santa Elena Conservation Project, a 37,000-acre resort located in the northern part of the province of Guanacaste in Costa Rica.
With the advice ofBLP, Gencom Group acquired the1400-acre luxury masterdevelopment in Costa Rica, secured by the award-winning 182-room Four Seasons Papagayo in the Papagayo Peninsula, that includes luxury amenities such as an 18-hole golf course designed by Arnold Palmer, a clubhouse, the Papagayo marina with 180 berths and the 38,000-square foot Beach Club of Playa Prieta, all recognized for offering the best service from more than 700 employees.
BLP is the main advisor to Los Sueños Marina and Resort, the main resort and planned community in Costa Rica. This 1,100-acre project features a 200-roomMarriott Hotel, an18-hole golf course, and a marina with more than 200 berths
BLP advised HCL on themillionaire capital increase of its subsidiary inGuatemala, as well as all the aspects of its operation of 1.500 employees ensuring proper compliance with the labor, tax and corporate regulations of the company.