In order to replace the LIBOR with the SOFR as the reference rate for the calculation of interest, Alemán, Cordero, Galindo & Lee (Alcogal), advised Banco General, S.A. as arranger and agent, with the registration before the Superintendency of Capital Markets, of the amendment to the terms and conditions of the following:
(i) Corporate Bonds in the amount of US$320 Million of Alternegy, S.A., in which Banistmo S.A. acts jointly with Banco General, S.A. as Co-Arranger;
(ii) Corporate Bonds in the amount of US$16 Million of Bavarian Real Estate, Inc;
(iii) Corporate Bonds in the amount of US$205 Million from Electron Investment, S.A.;
(iv) Corporate Bonds in the amount of US$45 Million from Lion Hill Capital, S.A.;
(v) Corporate Bonds in the amount of US$38 Million of Ofertas e Inversiones, S.A.; and
(vi) Corporate Bonds in the amount of US$65 Million from Vilgoly Capital Inc.
As part of these registration processes, Alcogal advised Banco General with the drafting of the corresponding amendments to the terms and conditions, as well as the collateral documents (as necessary), in order to allow the adoption of the SOFR Rate as the new reference rate for the calculation of interest. Additionally, in the event that the latter ceases to be published, a mechanism is contemplated that allows its replacement.
The Alcogal team that advised on these processes was led by partners Arturo Gerbaud and Rafael Marquinez, with the support of junior associate Rafael Amar Lopp.