Republic of Uruguay’s $574.4 Million and Ps. 51.3 Trillion Notes Offering and Tender Offer

Cleary Gottlieb represented the Republic of Uruguay in the offering.

Republic of Uruguay executed the offering of US$574,373,000 4.375% Notes due 2031 (the “2031 USD Notes”) and of Ps.51,332,112,000 8.250% Notes due 2031 (the “2031 Ps. Notes” and together with the 2031 USD Notes, the “Notes”).  The issuance of the 2031 USD Notes constituted a further issue of Uruguay’s US$ 1,866,969,673 outstanding 4.375% Notes due 2031, initially issued on January 23 and October 2, 2019 and July 2, 2020. Both offerings priced on May 13, 2021 and closed on May 21, 2021.

The offerings of the Notes were made concurrent with an offer by the dealer managers to purchase for cash certain series of outstanding peso-denominated and U.S. dollar-denominated notes of Uruguay, which launched on May 13, 2021 and expired on May 20, 2021.

BofA Securities, Inc., HSBC Securities (USA) Inc. and Santander Securities Inc. acted as underwriters for the Notes offering and joint dealer managers for the tender offer.

Uruguay used a portion of the net proceeds of the sale of the Notes to pay the purchase price of outstanding notes accepted by the dealer managers in the tender offer and resold to Uruguay.  The remaining proceeds will be applied to partially finance the implementation of measures designed to support economic activity, employment and protect vulnerable sectors, including COVID 19-related government response through Uruguay’s broad social safety net and to general purposes of the government, including financial investment and the refinancing, repurchase or retiring of domestic and external indebtedness.

The Cleary team consisted of partner Andrés de la Cruz (Picture), associate Ignacio Lagos, and international lawyers Juan Leguizamo and Lara Gómez Tomei.  Jason Factor and associates Alex Cadmus and Hunter McWinn provided advice on New York tax matters.

Involved fees earner: Alexander Cadmus – Cleary Gottlieb Steen & Hamilton; Andrés De la Cruz – Cleary Gottlieb Steen & Hamilton; Jason Factor – Cleary Gottlieb Steen & Hamilton; Lara Gómez Tomei – Cleary Gottlieb Steen & Hamilton; Ignacio Lagos – Cleary Gottlieb Steen & Hamilton; Juan Ignacio Leguízamo – Cleary Gottlieb Steen & Hamilton; Hunter McWinn – Cleary Gottlieb Steen & Hamilton;

Law Firms: Cleary Gottlieb Steen & Hamilton;

Clients: Republic of Uruguay;