Pan American Energy raises $375M in cross-border notes due 2037
What's the deal? Pan American EnergyDealroom has a profile for this one. Try Dealroom →'s Argentine branch has issued $375 million in notes, tapping both local and international markets.
The notes carry a fixed annual rate of 7.750% and mature in 2037, with the parent company, Spain-based Pan American Energy, guaranteeing the debt.
Citigroup, Itaú BBA, J.P. Morgan, and Santander acted as initial purchasers abroad. Balanz Capital, Banco de Galicia y Buenos Aires, and Banco Santander Argentina served as local placement agents.
Why now? The offering closed on January 15, 2026, with interest payments running semi-annually from July 2026.
Principal repayment is spread across three installments — 33% in 2035, 33% in 2036, and 34% on final maturity in 2037 — easing the repayment burden over an 11-year horizon.
What could go wrong? The 7.750% coupon reflects the cost of borrowing tied to Argentina, where currency volatility and policy shifts have long unsettled investors.
A parent guarantee from a Spanish entity helps reassure buyers, but the long maturity leaves room for macroeconomic surprises.
The signal: Positioned as the leading global energy company in Argentina and the region, late-stage Pan American Energy has the scale to draw a roster of heavyweight underwriters — Citigroup, J.P. Morgan, Itaú BBA, and Santander abroad — to a 2037 note in a market where long-dated issuance remains a rarity. Pulling in both international purchasers and local placement agents like Balanz Capital signals that investor appetite for Argentine energy debt is reopening across borders.
Read more: Chambers and Partners
Image credit: NASA Goddard Photo and Video
