09/20/2019
Central Railway Financial Trust
The launch of the Public Offering of the Certificates of Participation of the CAF-AM Central Railway Financial Trust was made.
On September 17 and 18 at BEVSA and BVM the presentation of the issuance of the CAF-AM Central Railway Financial Trust was made.
Republica AFISA acts as Trustee of the Trust and CAF-AM Administradora de Activos Uruguay S.A as Manager.
The Financial Trust will issue Public Offer Participation Certificates for the equivalent of UI 3,000 million, at a 20-year term with the objective of investing in Senior Debt of the Central Railroad Project.
Participation Certificates are Equity Securities, which grant the holder the right to participate in the results and remainder of the Trust. In this case the payments to the holders of the Participation Certificates will be associated to the cash flows that the Trust receives for the investment in Debt of the Central Railroad Project.
Quarterly payments will be made to the Holders, since the Trust makes the Debt Investment. On the fourth anniversary of the Issuance, there will be a Rescue Option at par, with an individual cap of 2 million UI and a total cap of up to 5% of the Issue.
Participation Certificates are assigned a rating of BBB (uy) for CARE Risk Rating and BBB + for Fix SCR Uruguay (associated with FitchRatings).
The Central Railroad Project will be in charge of the Grupo Vía Central consortium, formed by Sacyr, NGE, Saceem and Berkes and is developed under the Public Private Participation (PPP) modality, including design, construction and maintenance of railways from Montevideo to Paso de los Toros. It is estimated that the work will take 36 months and commissioning another 3 months.
The total cost of the Project will be approximately US $ 1,100 million, financed with the credit of the Trust and credits of CAF, IDB Invest, commercial banks as well as shareholders' own funds.
The Subscription and Issuance of Participation Certificates will take place as of September 26, 2019 in three tranches: Retail, Large Volume Investors and Wholesalers.
For more information on the conditions of the Emission and the Central Railroad Project, we invite you to consult the Emission Prospectus.