Santander US Capital Markets LLC served as initial purchaser, in connection with the Rule 144A/Reg S offering.

The transaction priced on June 6, 2023, and is expected to settle on June 13, 2023.

The issuance was the first time the Central American country has tapped global markets in almost a year, in a bid to take advantage of investor sentiment after a pair of recent credit-rating upgrades, Bloomberg reported.

S&P Global Ratings today assigned its 'BB' issue rating to Guatemala's bond issuance.
The rating on the notes is the same as the long-term foreign currency sovereign credit rating on Guatemala (BB/Stable/B). The sovereign will use the issuance proceeds for general budgetary purposes, including to refinance public indebtedness.

“Our 'BB' long-term ratings on Guatemala incorporate its resilient economy and long-standing macroeconomic stability. The ratings also reflect our view of its still-developing public institutions and a challenging political environment that constrains policymaking effectiveness. Further steps to promote long-term growth and address high social needs would be key to substantially reduce the country's high poverty,” S&P Global Ratings said in a statement following the issuance.

Cleary Gottlieb represented Santander US Capital Markets LLC with a corporate law team featuring Manuel Silva, Jorge Juantorena, Ignacio Lagos, Martin Sasson, and Cosmo Albrecht.

Cleary Gottlieb’s Matt Brigham, Adriana De Bartolo, and Joseph Roy advised on tax matters, while Nina Mendoza provided paralegal assistance.