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News Mar 27, 2015

Shearman & Sterling Advises Underwriters on Republic of Peru’s Tender Offer and Reopening of Nuevo Sol-Denominated and US Dollar-Denominated Bonds

Shearman & Sterling advised BBVA Banco Continental, BBVA Securities Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC, in the offer to purchase for cash made by the Republic of Peru of its (a) 8.375% US Dollar-Denominated Global Bonds due 2016, 7.125% US Dollar-Denominated Global Bonds due 2019 and 7.35% US Dollar-Denominated Global Bonds due 2025, (b) 9.91% Nuevo Sol-Denominated Bonos Soberanos due 2015, 8.60% Nuevo Sol-Denominated Bonos Soberanos due 2017, 7.84% Nuevo Sol-Denominated Bonos Soberanos due 2020 and 6.0% Nuevo Sol-Denominated Bonos Soberanos due 2029, and (c) the Bonos Soberanos 2015 in the form of Global Depositary Notes, the Bonos Soberanos 2017 in the form of Global Depositary Notes, the Bonos Soberanos 2020 in the form of Global Depositary Notes and the Bonos Soberanos 2029 in the form of Global Depositary Notes. 

Shearman & Sterling also advised BBVA Securities Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC, as underwriters in connection with the Republic of Peru’s SEC-registered reopening of its 5.625% Global Bonds due 2050 for an aggregate principal amount of US$545,000,000. 

Moreover, Shearman & Sterling advised BBVA Banco Continental as initial purchaser and BBVA Securities Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC, as global coordinators and joint-bookrunners in connection with the Republic of Peru’s reopening of its 6.95% Bonos Soberanos due 2031 for an aggregate principal amount of S/.4,391,817,000, of which S/.2,485,338,000 were sold in the form of global depositary notes (GDNs) by the global coordinators and joint-bookrunners. 

The net proceeds from the offerings will be used by the Republic of Peru to (i) manage external and internal liabilities, (ii) prefinance a portion of the general financial requirements for 2016 and (iii) finance national, regional and local governments’ public investment projects that are prioritized under the Decreto de Urgencia No. 005-2014. 

The following Shearman & Sterling lawyers advised BBVA Banco Continental, BBVA Securities Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC: partner Antonia Stolper (New York-Capital Markets), associates Kevin Younai (New York-Capital Markets), Maria Marulanda Larsen (New York-Capital Markets), Jeffrey Tate (Washington, DC-Tax), and Kammy Lai  (Washington, DC-Tax); and international associates Federico Piano (New York-Capital Markets) and Jimena Janeiro Fong (New York-Capital Markets).

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