Chilquinta Powers Up Bonds

Chilean power distributor Chilquinta has sold bonds worth UF6.5m ($257.2m) in 2 tranches, it says in a filing with the local exchange. The company did UF4.7m ($185.9m) in 5-year bonds at 99.69% with a 2.75% coupon to yield 4.27%. It also sold UF1.8m ($71.2m) in 21-year bonds at 98.37% with a 4.25% coupon to yield 3.11%. Proceeds will be used to cut debt and reduce exposure to foreign exchange rates. Chilquinta’s debt amounts to $224m, of which $200m is due in 2011 and the rest also short term, says IM Trust, which managed the issue. Fitch and Humphreys rate both tranches AA on a national scale. Chilquinta is 50% owned by AEI and 50% by Sempra Energy.