Corporación América Airports S.A. Announces Issuance of Local Notes in Argentina

Rhea-AI Summary

Corporación América Airports S.A. (NYSE: CAAP) announced that its subsidiary, Aeropuertos Argentina 2000, successfully raised $174 million through local dollar-linked notes issuance. This includes $138 million with a 5.5% interest rate and a 5-year grace period, and $36 million at 2% interest, maturing in February 2025. The funds will support infrastructure investments at Group “A” airports in Argentina, enhancing liquidity and demonstrating access to competitive financing sources.

Positive

• Successfully raised $174 million in local market funding.
• Funds are allocated for infrastructure modernization at Group 'A' airports.
• Strong local rating of AA- (FIX SCR Argentina) for issuance.

Negative

• None.

AA2000 successfully raised $174 million in the local market.

LUXEMBOURG--(BUSINESS WIRE)-- Corporación América Airports S.A. (NYSE: CAAP), (“CAAP”), the largest private sector airport operator in the world by number of airports, announced today that Aeropuertos Argentina 2000 (the “Company” or “AA2000”), a subsidiary of CAAP, successfully issued $174 million of dollar-linked notes, in the local market, in two tranches:

• $138 million, with an annual interest rate of 5.5%, 5-year grace period and quarterly amortization, starting May 2027. The Company will use these proceeds to fund infrastructure works in the Group “A” airports, within the National Airports System
• $36 million, with an interest rate of 2%, maturing in February 2025
• The issuance got a local rating of AA- (FIX SCR Argentina)

These issuances complement the various debt transactions concluded last year, which are part of AA2000’s strategy of continuing with infrastructure modernization investments in Argentina, while strengthening its liquidity and debt profile, and demonstrating AA2000 access to competitive sources of funding.

During 2020 and 2021, the Company's operations were severely impacted by the COVID19 pandemic and air travel bans established by the government to contain the spread of the virus. Following the gradual lifting of travel restrictions on international traffic and the re-opening of borders to non-resident foreigners starting November 1, 2021, there was a significant improvement in passenger traffic as a result of an increase in the number of flights and destinations, and higher tourism activity, further supported by strong pent-up demand and the overall improvement of the sanitary conditions in Argentina and worldwide.

About Corporación América Airports

Corporación América Airports acquires, develops and operates airport concessions. The Company is the largest private airport operator in the world based on the number of airports and the tenth largest based on passenger traffic. Currently, the Company operates 53 airports in 6 countries across Latin America and Europe (Argentina, Brazil, Uruguay, Ecuador, Armenia and Italy). In 2019, Corporación América Airports served 84.2 million passengers. The Company is listed on the New York Stock Exchange where it trades under the ticker “CAAP”. For more information, visit http://investors.corporacionamericaairports.com

Forward Looking Statements

Statements relating to our future plans, projections, events or prospects are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as “believes,” “continue,” “could,” “potential,” “remain,” “will,” “would” or similar expressions and the negatives of those terms. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Many factors could cause our actual activities or results to differ materially from the activities and results anticipated in forward-looking statements, including, but not limited to: the Covid-19 impact, delays or unexpected casualties related to construction under our investment plan and master plans, our ability to generate or obtain the requisite capital to fully develop and operate our airports, general economic, political, demographic and business conditions in the geographic markets we serve, decreases in passenger traffic, changes in the fees we may charge under our concession agreements, inflation, depreciation and devaluation of the AR$, EUR, BRL, UYU, or the AMD against the U.S. dollar, the early termination, revocation or failure to renew or extend any of our concession agreements, the right of the Argentine Government to buy out the AA2000 Concession Agreement, changes in our investment commitments or our ability to meet our obligations thereunder, existing and future governmental regulations, natural disaster-related losses which may not be fully insurable, terrorism in the international markets we serve, epidemics, pandemics and other public health crises and changes in interest rates or foreign exchange rates. The Company encourages you to review the ‘Cautionary Statement’ and the ‘Risk Factor’ sections of our annual report on Form 20-F for the year ended December 31, 2019 and any of CAAP’s other applicable filings with the Securities and Exchange Commission for additional information concerning factors that could cause those differences.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220221005418/en/

Investor Relations Contact

Patricio Iñaki Esnaola

Email: patricio.esnaola@caairports.com

Phone: +5411 4899-6716

Source: Corporación América Airports S.A.

FAQ

What amount did CAAP raise through its recent issuance?

CAAP raised $174 million through a local dollar-linked notes issuance.

What are the terms of the $138 million tranche issued by AA2000?

The $138 million tranche has a 5.5% interest rate with a 5-year grace period and quarterly amortization starting in May 2027.

What will the funds raised by CAAP be used for?

The funds will be used for infrastructure works at Group 'A' airports in the National Airports System in Argentina.

What is the maturity date for the $36 million tranche?

The $36 million tranche matures in February 2025.

What rating did the issuance receive?

The issuance received a local rating of AA- from FIX SCR Argentina.