Friday, 04 November 2022 16:50

CABEI issues new private placement despite current market conditions

Written by Evelyn Alas

The Central American Bank for Economic Integration (CABEI) has issued another private placement in 2022. This particular issuance was for an amount of US$50 million for a 3-year term, which represents CABEI's 39th issuance in the U.S., reaching a historical aggregate amount of US$4.5 billion equivalent to close to 30% of the Bank's historical issuances.

CABEI's Executive President, Dr. Mossi, stated: "Under current market conditions, it is satisfying to see that investors are aware of the value of CABEI's franchise and financial strength, backed by our unquestionable shareholder support and impeccable track record as a preferred creditor".

Prior to this transaction, CABEI had made several private placements in 2022 for a total amount of US$417 million, in four different currencies and including its first floating rate issue denominated in the benchmark SOFR.

Amid market volatility, global investors continue to actively seek CABEI issues as a safe and sound investment, and a clear demonstration of the Bank's financial strength and recognition as a consolidated global issuer. The latter is backed by the institution's "AA" credit ratings, which are the result of a remarkable track record of 18 upgrades over the past 20 years, positioning CABEI as the highest rated institution in all of Latin America.

For more than 25 years, CABEI has executed a strategy of diversification of its funding sources that has allowed the Multilateral to have uninterrupted access to international capital markets, occupying a privileged position as a global issuer with placements in 24 currencies and 23 different markets.