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News Feb 11, 2015

Shearman & Sterling Advises Banks on Latin America’s First Offering of Euroclearable Cebures by Petróleos Mexicanos

Shearman & Sterling represented BBVA Securities Inc., Citigroup Global Markets Inc., HSBC Securities (USA) Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Morgan Stanley & Co. LLC and Scotia Capital (USA) Inc. as placement facilitation agents in connection with a Rule 144A/Regulation S international offering by Petróleos Mexicanos of Ps. 9,000,000,000 aggregate principal amount of its 7.47% Certificados Bursátiles due 2026 (the “Cebures”) initially settled, traded and held through the facilities of Euroclear Bank S.A./N.V., as operator of the Euroclear Clearance System plc ("Euroclear").

Petróleos Mexicanos is the first Mexican company to use this innovative link with Euroclear for Cebures, Mexican peso-denominated debt securities which are governed by Mexican law and make all payments in Mexican pesos. The international offering was made concurrently with a public offering in Mexico of Ps. 8,000,000,000 aggregate principal amount of the Cebures. The net proceeds from the issuance of the Cebures are being used by Petróleos Mexicanos for general corporate purposes.

The following Shearman & Sterling team advised the managers in the transaction: partner Stuart Fleischmann (New York-Capital Markets) and associates Grissel Mercado (New York-Capital Markets), Maria Marulanda Larsen (New York-Capital Markets), Jeffrey Tate (Washington, DC-Tax), Matt Wochok (Washington, DC-Tax) and Erica Kassman (New York-Corporate).

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