Guatemala Developers Seek $1bn

Guatemala-based entities are targeting close to $1bn in project finance for the coming weeks as the pace of infrastructure development hastens. Cementos Progreso, the local cement maker, has tapped Citi to lead financing totaling $470m that will include local bank debt, syndicated financing and bi-lateral loans, a company official tells LatinFinance. Proceeds will be used for a new cement plant. A significant portion of the $470m should be done in the syndicated loan market and the company is looking at tenors ranging from 7-10 years. Elsewhere in Guatemala, Ashmore Energy International (AEI) is looking to raise around $500m to build a new power facility, say bank market participants. Jaguar Energy, an AEI subsidiary, won a mandate to build a $600m coal-fired power plant in early May. The development will generate 275MW annually and sell electric power through distributors belonging to Spain’s Union Fenosa.