Braskem Idesa’s $1.35 Billion Refinancing of Petrochemical Complex in Mexico

White & Case has advised Braskem Idesa, S.A.P.I. on the deal.
Milbank advised

Braskem Idesa, S.A.P.I., the owner and operator of the US$5.2 billion Etileno XXI petrochemical complex in Veracruz, Mexico, executed the refinancing of its approximately US$1.35 billion project finance debt.

The refinancing consisted in a full prepayment of Braskem Idesa’s US$1.35 billion project finance debt with US$1.2 billion in aggregate principal amount of 6.990% senior secured sustainability-linked notes due 2032 and a US$150 million term loan facility. Morgan Stanley, Crédit Agricole CIB, Deutsche Bank and Itaú BBA acted as joint lead arrangers and joint bookrunners.

The refinancing comes on the heels of an amendment to Braskem Idesa’s ethane supply contract with Pemex.

Braskem Idesa is a leading global petrochemical company and the largest Mexican producer of polyethylene. The complex began operations in 2016 and has a production capacity of 1.050 million tons of polyethylene per year.

The White & Case team was led by partner Jeannine Acevedo (Picture) in Miami and partner Juan Antonio Martín and local partner Juan Ruenes, both in Mexico City. The team also included partners Ian Cuillerier in New York, Jonathan Hamilton and Francisco Jijon in Washington, DC and Rafael Llano in Mexico City; counsel Michael Rogers in Houston; local partners Guillermo Aguayo, Mauricio Valdespino and Roberto Ríos in Mexico City; associates Fernando Vazquez, Juan Carlos Llorens, Mariana Montemayor, Daniel Franco and Mikel Irurita in Mexico; Ana Arias, Chris Bergan and Helena Buitrago in Miami; and Rhys Bortignon in New York.

 

Milbank advised Morgan Stanley Senior Funding, Inc.; Credit Agricole Corporate & Investment Bank (CACIB); Deutsche Bank and Itaú Unibanco S.A.. with Carlos T. Albarracín, Lyndon Plothow, Marcela Barba, Severine Losembe, Jeeseon Ahn, Tobias Stirnberg, Jeffrey Susskind, Ana Bueno and Marina Carvalho Rodriguez. 

In Mexico, Ritch, Mueller y Nicolau advised Morgan Stanley Senior Funding, Inc.; Credit Agricole Corporate & Investment Bank (CACIB); Deutsche Bank and Itaú Unibanco S.A.. with Jean Paul Farah Chajín, Alejandra Echeverría González, Daniel Kuri Breña Rosillo, Luis Alonso Suárez del Real Tostado and Renata Cantú Vila.

Involved fees earner: Jeeseon Ahn – Milbank LLP; Carlos Albarracín – Milbank LLP; Marcela Barba – Milbank LLP; Ana Bueno – Milbank LLP; Marina Carvalho Rodriguez – Milbank LLP; Séverine Losembe – Milbank LLP; Lyndon Plothow – Milbank LLP; Tobias Stirnberg – Milbank LLP; Jeffrey Susskind – Milbank LLP; Renata Cantú Vila – Ritch, Mueller, Heather y Nicolau, SC; Alejandra Echeverría González – Ritch, Mueller, Heather y Nicolau, SC; Jean Paul Farah Chajín – Ritch, Mueller, Heather y Nicolau, SC; Daniel Kuri Breña Rosillo – Ritch, Mueller, Heather y Nicolau, SC; Luis Alonso Suárez del Real Tostado – Ritch, Mueller, Heather y Nicolau, SC; Jeannine Acevedo – White & Case; Guillermo Aguayo – White & Case; Ana Maria Arias – White & Case; Christopher Bergan – White & Case; Rhys Bortignon – White & Case; Helena Buitrago – White & Case; Ian Cuillerier – White & Case; José Daniel Franco – White & Case; Jonathan Hamilton – White & Case; Mikel Irurita – White & Case; Francisco Jijón – White & Case; Rafael Llano – White & Case; Juan Carlos Llorens Rojas – White & Case; Juan Antonio Martín – White & Case; Mariana Montemayor Alba – White & Case; Roberto Ríos Artigas – White & Case; Michael Rodgers – White & Case; Juan Ruenes Rosales – White & Case; Mauricio Valdespino – White & Case; Fernando Vázquez-Chelius Solís – White & Case;

Law Firms: Milbank LLP; Ritch, Mueller, Heather y Nicolau, SC; White & Case;

Clients: Braskem Idesa SAPI; Crédit Agricole Corporate and Investment Bank; Deutsche Bank AG; Itaù Unibanco; Morgan Stanley Senior Funding, Inc.;