Comisión Federal de Electricidad Announces the Expiration and Final Results of its Offer to Purchase its 7.35% Certificados Bursátiles due 2025

MEXICO CITY, Dec. 9, 2021 /PRNewswire/ -- Comisión Federal de Electricidad ("CFE" or the "Company") announced today that the previously announced offer to purchase (the "Offer") up to 105,000,000 of its 7.35% certificados bursátiles due 2025 (BMV Ticker Symbol: CFE 14-2; ISIN: MX95CF050047) (the "Cebures"), representing Ps.10,500,000,000 aggregate principal amount of Cebures, expired on 8 December 2021 at 12:00 p.m. (Mexico City time) (6:00 p.m. (London time) (the "Expiration Date").

The terms and conditions of the Offer are set forth in the offer to purchase dated 5 November, 2021 (as amended or supplemented from time to time, the "Offer to Purchase"), previously distributed to holders of Cebures. This press release is qualified in its entirety by the Offer to Purchase.

The Company further announced that, as of the Expiration Date, the Company had received valid tenders (not validly withdrawn) from the holders of Cebures representing 37.06% of the Cebures (77,823,926 Cebures, representing Ps. 7,782,392,600 aggregate principal amount of Cebures).

On the terms and subject to the conditions set forth in the Offer to Purchase, the Company has accepted for purchase all Cebures validly tendered (and not validly withdrawn) pursuant to the Offer.

The settlement date with respect to the Offer is expected to occur on 13 December, 2021 (the "Settlement Date"). 

On the Settlement Date, holders whose Cebures have been accepted for purchase in the Offer will receive, for each Ps.100 principal amount of Cebures tendered, an amount in cash in Mexican pesos equal to Ps. 95.994419, representing the present value on the Settlement Date of each of the pending payments of principal and interest on the Cebures, in each case, discounted at a rate of 7.10%, which is equal to the sum of the annual rate of return of the MBono due on 5 March, 2026 on 8 December 2021 plus 145 basis points (the "Purchase Price"). In addition to the Purchase Price, the Company will pay accrued and unpaid interest on the Cebures from the last interest payment date to, and including, the Settlement Date.

All conditions described in the Offer to Purchase for the acceptance for purchase and payment for the Cebures validly tendered (and not validly withdrawn) pursuant to the Offer were satisfied or waived on or prior to the Expiration Date. 

Any questions or requests for assistance in connection with the Offer may be directed to the intermediary or the information agent for the Offer at:

Intermediary

Casa de Bolsa BBVA México, S.A. de C.V., Grupo Financiero BBVA México: [email protected] / +55 5621-9135 +55 5621-9148.

Information Agent

Lucid Issuer Services Limited: +44 (0) 20 7704 0880 / [email protected] / https://deals.lucid-is.com/cfe.

This announcement is for informational purposes only, and is not an offer to purchase or a solicitation of an offer to sell any security. The Offer was made solely pursuant to the Offer to Purchase. The Offer to Purchase has not been filed with, or reviewed by, any national or local securities commission or regulatory authority outside of Mexico, nor has any such commission or authority passed upon the accuracy or adequacy of the Offer to Purchase. Any representation to the contrary may be unlawful and may be a criminal offense.

The Offer does not constitute, and may not be used in connection with, an offer or solicitation by anyone in any jurisdiction in which such offer or solicitation is not permitted by law or in which the person making such offer or solicitation is not qualified to do so or to any person to whom it is unlawful to make such offer or solicitation. In any jurisdiction in which the Offer is required to be made by a licensed broker or dealer and in which the Intermediary, or any affiliates thereof, are so licensed, the Offer will be deemed to have been made by such Intermediary, or such affiliates, on behalf of CFE.

Forward-Looking Statements

This announcement contains forward-looking statements. Forward-looking statements are information of a non-historical nature or which relate to future events and are subject to risks and uncertainties. No assurance can be given that the transactions described herein will be consummated or as to the ultimate terms of any such transactions. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events or for any other reason.

About the Company

CFE is an electric power company operating as a productive state enterprise of the Mexican government and is wholly-owned by the Mexican government. CFE's business is divided into four main areas: generation, transmission, distribution and commercialization. CFE continually invests in electricity generation, transmission and distribution infrastructure in order to address Mexico's growing electricity demand.                                                                                                                                                                                                                                                                                                                                                                                                                          

SOURCE Comisión Federal de Electricidad (CFE)