Grupo TMM Consolidates Three Tranches of Mexican Trust Certificates Program Into One Issuance

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

31 Jul 2010

Grupo TMM, S.A.B., a Mexican intermodal transportation and logistics company, announced yesterday that it consolidated the three tranches of its 20-year, non recourse Mexican Trust Certificates Program into one issuance, for $10.5 billion pesos (approximately $817 million dollars). TMM will use the additional proceeds of this issuance to prepay certain U.S. dollar denominated debt and for general corporate purposes. The new issuance rate is TIIE* +245 basis points and was rated AA (domestic) by HR Ratings de México. The Company's shareholders approved this new issuance on April 30, 2010, at the Company's Annual Ordinary Shareholders Meeting.
José F. Serrano, chairman and chief executive officer of Grupo TMM, said, "With this new financing, the vast majority of TMM's debt will be peso-denominated, non recourse to the Company and at a 20-year term. Additionally, TMM's short-term debt will be less than 3 percent of the Company's total debt."
*TIIE: Mexico's Interbank Equilibrium Interest Rate
Headquartered in Mexico City, TMM is a Latin American intermodal transportation Company. Through its branch offices and network of subsidiary companies, TMM provides a dynamic combination of ocean and land transportation services.

Source: Grupo TMM