Menu

Paul Hastings Closes $350 Million Debt Exchange Offer by Axtel, S.A.B de C.V.

February 06, 2013

New York, NY- Paul Hastings, a leading global law firm, announced today that the firm represented Citigroup and Credit Suisse as dealer managers in connection with a $350 million exchange offer by a subsidiary of Mexican telecommunication company, Axtel, S.A.B. de C.V.

Axtel issued $248,653,000 principal amount of its Senior Secured Notes due 2020 and the equivalent in Mexican Pesos of $22,189,690 principal amount of its Peso-denominated Senior Secured Convertible Dollar-indexed Notes due 2020, and paid $82,564,980 in cash to tendering holders. The debt exchange offer was used to restructure the companys existing senior notes.

The transaction represents a rare instance, in which a capital markets alternative was successfully used to restructure a Mexican companys debt, thereby avoiding the protracted and costly alternative of an out-of-court restructuring with hostile creditor groups. This also was the first international issuance of Peso-denominated secured convertible Dollar-indexed notes.

Latin America practice partners Michael Fitzgerald and Joy Gallup led the team, which also included partner Arturo Carrillo and of counsels Steven Sandretto and Pedro Reyes.

Paul Hastings LLP is a leading global law firm with offices in Asia, Europe, and the United States. We provide innovative legal solutions to financial institutions and Fortune 500 companies. Please visit www.paulhastings.com for more information.