Latham & Watkins Advises Latin American Development Bank Corporación Andina de Fomento in US$2 Billion Bond Financing

Latham & Watkins represented Corporación Andina de Fomento — Development Bank of Latin America and the Caribbean (CAF) in the issuance of US$2 billion aggregate principal amount of 4.75% senior unsecured notes due 2031. The offering was CAF’s largest US dollar-denominated transaction to date and the first benchmark issuance following Moody’s upgrade of CAF to Aa1.

Reflecting strong investor confidence, the offering attracted robust demand from a diverse global investor base, with central banks and official institutions accounting for nearly half the allocations. The notes priced at CAF’s tightest-ever spread to US treasury securities in the US dollar-denominated market, underscoring CAF’s continued credit improvement relative to its ratings peers.

The net proceeds from the sale of the notes will be used for general corporate purposes, including funding CAF’s lending operations. The notes have been listed on the FCA official list and admitted to trading on the London Stock Exchange’s main market.

CAF is a multilateral financial institution established in 1968 that seeks to foster and promote economic development within Latin America and the Caribbean. Its principal and associated shareholders include 25 sovereign nations across Latin America and the Caribbean, together with Spain and Portugal.

Latham & Watkins LLP counseled the issuer in the transaction with a cross-border team led by partner Roderick Branch, with associates Concepción Olivera, Wyatt Wisnosky, and Brittany Grego.