Chile: A&O Shearman advises banks on Mundo’s inaugural bond issuance

A&O Shearman advised the initial purchasers in connection with the issuance by DB Terra Chile HoldCo SpA (Mundo) of USD 435 million in 7.950% senior sustainable notes due 2031.

Mundo intends to use the net proceeds to repay or repurchase certain existing debt, with the remainder allocated to general corporate purposes. The company also plans to allocate an amount equivalent to the net proceeds to finance or refinance eligible green or social projects in accordance with its sustainable financing framework.

Mundo is a leading telecommunications operator in Chile, with a strong and expanding presence in the country’s dynamic digital telecom market.

The transaction marks Mundo’s debut in the international capital markets and the first high-yield issuance by a Chilean company in 2026.

The A&O Shearman team was led by capital markets partner Alejandro A. Gordano, alongside associates Gonzalo Robles and Hanan Al-Malssi, visiting lawyer Teresa Zúñiga, and business analyst Anika Pemmaraju. Partner Lorenz Haselberger and associate Edgardo Martínez Gastelum advised on tax matters.

aoshearman.com