Transener Sells $220 Million Bonds

Transener, Argentina’s largest electricity provider, sold $220 million of 10-year amortizing bonds at par to yield 8.875% a year. The bonds mature December 15, 2016. The company will use the money raised to fund its buyback of more expensive 2016 bonds. The new 10-year bonds have an average life of 8.5 years and will amortize in equal, annual payments from 2013. The bonds were sold under 144A rules for institutional investors and Regulation S rules for foreign issuers. Deutsche Bank and Citigroup led. The company recently launched a tender offer to buyback around $55 million of the bonds and succeeded in a 72% take-up by bondholders.