LatAm Middle-Market Lender Senior Secured Term Loan Token

Overview

The Company is a cross-border investment company that provides structured levered loans (“Loans”) to middle-market businesses in Mexico (“Obligors”).

The Originator is providing a $100.0 million Delayed Draw Senior Secured Term Loan (the “Notes” or “Facility”) which shall be used to finance new Loan investments (the “Transaction”). The Notes carry a cash interest rate of 1-Month Term SOFR + 5.50% (with a 7.75% floor) and are due December 2026 (“Maturity”).

In addition to cash interest, The Originator will receive additional economics from warrants issued to the Company from Obligors (“Warrant Participation”). The Originator is entitled to 25% of the economic return above the structural put price for all Eligible Loans (i.e., zero value to the Originator if put to Obligor). Importantly, for any warrants issued to the Company as compensation for an Obligor covenant breach, the Originator will participate in 25% of all economics irrespective of the put price.