Latham & Watkins advised the Inter-American Development Bank (IDB), as guarantor for the offering.
Republic of Ecuador completed the issuance of a US$400 million offering of social bonds, the first sovereign in the world to conduct a financing of this kind. The offering, whose proceeds will help provide housing to medium- and low-income families by funding Ecuador’s housing program, complied with the Social Bond Principles of the International Capital Markets Association.
The IDB backed the bonds with a partial guarantee, making the operation highly attractive for international investors and significantly reducing the financing costs to Ecuador.
Established in 1959, the IDB is the leading source of long-term financing for economic, social, and institutional developments in Latin America and the Caribbean. It also conducts cutting-edge research and provides policy advice, technical assistance, and training to public- and private-sector clients throughout the region.
Latham’s Latin America team that advised the IDB in this ground-breaking offering was led by Project Development & Finance partner Paul Hunt (Picture) and Capital Markets partner Roderick Branch, with associates Carlos Ardila and Maria Borges.
Law Firms: Latham & Watkins;
Clients: Inter-American Development Bank;