- The company closed a 12-year private placement and an ESG (Environmental, Social and Governance) 5-year loan.
- The financing was used for the purchase of SPX Transformer Solutions, an important corporation in the USA.
MONTERREY, N. L., MEXICO, october 6, 2021 — Prolec GE’s recently announced the acquisition of SPX Transformer Solutions (valued at USD 645 million) which was financed through a USD 320 million, five-year sustainable syndicated loan (ESG) arranged by Scotiabank with the participation of the main relationship banks of the company and a USD 300 million, 12-year private placement structured by RM Capital which had the participation of top-level American insurance companies.
“The fact that we practically have half of the initial financing with a 12-year loan is a great achievement, as these are extraordinary conditions for this type of transactions in Mexico; this significantly reduces the refinancing risk and will allow us to focus our efforts on a smooth integration and maximizing our synergies” said Angel De Soto, Corporate Director of Finance and Administration at Xignux.
It is worth noting that this is the first ESG loan for Xignux and Prolec GE which underscores the company’s commitment to the environment, inclusion and corporate governance.
About Xignux
Xignux is a Mexico-based company dedicated to the energy and food industries with sales in more than 40 countries. Xignux was founded 65 years ago and now employs more than 28,000 people in five countries. Xignux manages companies that energize life and society to contribute to a better world.
About Prolec GE
Prolec GE designs and provides solutions for the generation, transmission, and distribution of electrical energy. With more than 50 years’ experience in the industry, Prolec GE is an important player in the Americas with business units in Mexico, the United States, and Brazil. It has an installed base in more than 35 countries and employs more than 8,000 people.
