DLA Piper announced today that it represented Canadian investor Stoneway Capital Corporation on two significant transactions, completed on November 15, 2017, related to the construction of a combined-cycle power plant in the province of Buenos Aires, Argentina. Headquartered in Buenos Aires, Stoneway Capital is completing construction of 686.5 MW of generating capacity that will supply electricity under long-term power purchase agreements with CAMMESA, the operator of the wholesale electricity markets in Argentina.
DLA Piper advised Stoneway on its Rule 144A/Regulation S offering of $165 million of 10-year senior secured notes. These notes will be fungible with $500 million of 10-year senior secured notes of the same series issued by Stoneway in February 2017. In addition, DLA Piper advised Stoneway on the solicitation of consents from noteholders to certain waivers and amendments to the notes' terms.
The $165 million of additional capital raised will finance the combined-cycle construction project described above, which, upon completion, will increase the total thermal capacity of Stoneway's plants to 806.5 MW. The consent solicitation, approved with a nearly 99% participation rate, enabled Stoneway to incur the additional debt and enter into several project agreements related to the combined-cycle project.
The DLA team advising Stoneway was led by partners Christopher Paci and Philip Corsello (both New York), and also included partners Willliam Candelaria, Drew Young and Jack Kantrowitz (all New York), Rita Patel (Washington, DC), John Murphy (Miami), associates Brad McCormick (New York), Greg Young (Los Angeles), John Wei (Boston), and Jorge Timmermann.