Arnold & Porter LLP Advises Second Brazilian State in Major Financing
New York, New York, December 27, 2012 -- Arnold & Porter client, the Brazilian State of Santa Catarina, today signed and received disbursement of a $726 million loan from Bank of America, N.A., guaranteed by the Federative Republic of Brazil. Arnold & Porter also represented the guarantor. Partner Whitney Debevoise led the transaction, the second of its kind in three months.
The State used the proceeds of the ten-year financing at 4.0% to repay internal debt owed to the Brazilian Federal Government carrying a double-digit interest rate. The transaction followed a similar financing for the State of Mato Grosso that closed in September and was the first of its kind involving cross-border, market financing to repay internal debt. Mr. Debevoise represented the State of Mato Grosso and the Republic in that transaction as well.
Mr. Debevoise commented on the transaction, “Arnold & Porter is honored to have assisted the State of Santa Catarina with the reduction of its financing costs utilizing an innovative, new structure for Brazilian States.”
Bank of America, N.A., represented by Marcelo Mottesi, Matthew Squires and Rodrigo Carvalho of Milbank, and Adriano Schnur and Julia Rodrigues Coimbra of Machado Meyer Sendacz Opice, provided the loan.
The State of Santa Catarina was represented at the signing by its Governor João Raimundo Colombo and on Brazilian law matters by The Attorney General of the State João Passos Martins Neto and State Attorney Jocélia Aparecida Lulek. Assisting Mr. Debevoise from Arnold & Porter were partner Gregory Harrington, associate Rachel Baylis and foreign attorney Thiago Sturzenegger.
Arnold & Porter LLP is an international law firm of more than 800 lawyers with offices in Brussels, Denver, London, Los Angeles, New York, Northern Virginia, San Francisco, Silicon Valley, and Washington, D.C. The firm, founded in 1946, maintains more than 26 practice areas spanning a broad spectrum of the law, with a primary focus on litigation, transactional matters, and regulatory issues.