Orazul Energy Perú S.A., one of the most important power generators in Peru with a 100% renewable platform, successfully placed bonds in the international market totaling US$380 million.
This successful bond issuance will allow the company to proactively refinance its 2027 Orazul bond valued at US$363 million.
Orazul holds a credit rating of Ba2 and BB from international rating agencies Moody’s and Fitch, respectively.
The operation received strong interest from the international capital markets. The transaction followed a roadshow that included more than 23 meetings and 80 investors over the course of three full days. Demand for the bonds was six times higher than the offer, resulting in an oversubscription of US$2.3 billion.
Regarding the issuance details, the company explained that it was an international placement under the 144A/Reg S format, with a 6.25% coupon and a 7-year bullet maturity.
The high demand and favorable rate obtained reflect the company’s strength after over eight years in the capital markets. It also demonstrates international investor confidence in Orazul, the company’s solid capital structure, and the long-term perceived stability of Peru’s electricity sector.
The issuance was internationally managed by Citibank, Deutsche Bank, J.P. Morgan, and Santander.