Buenaventura secures $650 million in senior notes

Published 05/02/2025, 08:22 am
© Reuters.

LIMA - Compañía de Minas Buenaventura S.A.A., a major precious metals mining firm in Peru with a market capitalization of $60.8 billion, has successfully issued $650 million in senior unsecured notes due February 4, 2032. The notes carry an annual interest rate of 6.800%. According to InvestingPro data, the company maintains a "GOOD" financial health rating, with revenue growing at 6.7% year-over-year.

The private placement targeted qualified institutional buyers under Rule 144A of the Securities Act of 1933, and to non-U.S. persons in compliance with Regulation S. The notes are guaranteed by Inversiones Colquijirca S.A., Procesadora Industrial Río Seco S.A., and Consorcio Energético Huancavelica S.A.

The company plans to allocate the net proceeds to refinance existing senior notes due in 2026 and for general corporate purposes. With total debt of $65.5 billion and a debt-to-equity ratio of 1.77, this financial move aims to improve Buenaventura’s credit standing and extend its debt maturities, reflecting investor confidence in the company’s stability and prospects. For detailed analysis of Buenaventura’s debt structure and financial metrics, investors can access the comprehensive Pro Research Report available on InvestingPro.

Buenaventura operates several mines in Peru and holds a significant share in Sociedad Minera Cerro Verde, a prominent copper producer. The transaction does not allow sales in any jurisdiction where it would be unlawful without registration under the securities laws.

This press release is based on a press release statement and does not constitute an offer to sell or a solicitation of an offer to buy the securities mentioned. The notes have not been registered under the Securities Act or any state securities laws and are exempt from such registration requirements.

In other recent news, Bank of New York Mellon (NYSE:BK) has been making significant strides with its earnings and revenue results. The financial institution recently reported fourth-quarter earnings that exceeded analyst expectations, with an adjusted earnings per share of $1.54, surpassing estimates by $0.03. Revenue for the quarter was reported at $4.85 billion, a notable increase from the same period last year.

Keefe, Bruyette & Woods analysts maintained their Outperform rating on the company, driven by robust growth in net interest income and diligent cost control. They anticipate a 5% growth in net interest income for the coming year, spurred by better-than-expected results. CFRA analyst Kenneth Leon also reaffirmed a Buy rating on the stock, raising the price target to $95 from the previous $88.

These recent developments reflect a positive outlook based on the company’s performance and future earnings projections. Bank of New York Mellon’s assets under management reached $2.0 trillion by the end of the quarter and assets under custody were recorded at $52.1 trillion, marking a 9% year-over-year increase. The company’s strong performance was attributed to growth across its key business segments, indicating a robust financial health.

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