Camargo Corrêa to issue promissory notes

Camargo Corrêa to issue promissory notes
Published: 01 March 2010

Brazilian construction group Camargo Corrêa will issue OMR$3bn (US$1.66bn) in promissory notes in a three-year debt program.

Part of the issue is due in six months and will be used to finance a minority stake in Portuguese cement firm Cimpor.

Fitch has assigned an F1 (bra) national scale short-term credit rating on the paper.

"The issuance structure is supported by a guarantee comprised by a pool of shares of companies directly or indirectly related to Camargo. The guarantee would include shares to be chosen from the following companies - Investimentos Itau S.A.(Itausa), VBC Energia S.A., Camargo Correa Desenvolvimento Imobiliario, Companhia de Concessoes Rodoviarias (CCR), Alcoa Inc., Cimpor, and Sao Paulo Alpargatas S.A.", according to Fitch in a press release. (Agência Estado newswire staff)