Press Release

White & Case Represented the Senior Creditors in the US$822 Million Project Financing for a 600Km Power Transmission Line in Chile

Global law firm White & Case LLP represented the senior creditors in the long-term project financing obtained by Transmisora Eléctrica del Norte S.A. (TEN) for the construction of a 600Km electricity transmission line that will connect the Sistema Interconectado Central (SIC) and the Sistema Interconectado del Norte Grande (SING) of Chile and associated substations.

The Firm advised Banco de Chile, Banco del Estado de Chile, Banco de Crédito e Inversiones, Banco Santander-Chile, Instituto de Crédito Oficial, KfW IPEX-Bank GmbH, Mizuho Bank, Ltd., MUFG and Sumitomo Mitsui Banking Corporation, as senior lenders, and Prudential as initial fixed rate note- purchaser.  The Firm also represented the providers of interest rate and currency exchange hedges.

The senior financing consists of US Dollar and Chilean Peso–denominated senior loan facilities and a private placement under New York law.  Three of the Chilean banks also extended a Peso-denominated value added tax facility that benefited from a second-priority lien over the project's assets.

The trunk transmission line will extend from Mejillones to Copiapó and connect Chile's two main transmission systems, thus serving a long standing goal of the Chilean government to create a unified power grid, reduce costs for end consumers, boost competitiveness in Chile's power sector and strengthen energy security throughout most of the country. In so doing, it constitutes one of the most important infrastructure projects in Chile in the last two decades.

The borrower is a joint venture of sponsors Engie Energía Chile S.A, a subsidiary of ENGIE, a global leader in the production of energy and Red Eléctrica Chile SpA, a subsidiary of the Spain-based Red Electrica Corporación.

The financing was recently awarded Latin America Power Deal of the Year by Project Finance International.

The project financing was led by partners Carlos Viana and Jeannine Acevedo. The cross-border team also included partners Ian Cuillerier, Sean Johnson, Sean Goldstein, Ray Simon and Tom Bartlett; counsel Tallat Hussain; and associates Melinda Baglio, Elizabeth Martinez, Lucía Benabentos, Sean Williams, Raffaele Turco, Julio Peralta, Gerardo Otero, Alexandra Arizmendi and Nic Kennedy in our Miami, New York, London, Mexico City and Madrid offices.

As a result of this landmark and other marquee projects engagements across Latin America, White & Case's Latin America Energy, Infrastructure and Project Finance team was recently chosen as Projects International Counsel in Latin America Law Firm of the Year 2016 by the prestigious publication Chambers and Partners.

Press contact
For more information, please speak to your local media contact.