Press release
Mercado Libre Announces Closing of Inaugural Debt Offering
The issuance will support the Company’s initiatives with respect to financial inclusion, sustainable mobility, energy efficiency, social development and
About this update from Mercadolibre, Inc.
[{"type":"text","content":"The issuance will support the Company’s initiatives with respect to financial inclusion, sustainable mobility, energy efficiency, social development and empowerment through education. BUENOS AIRES, Argentina, Jan. 14, 2021 (GLOBE NEWSWIRE) -- MercadoLibre, Inc. (Nasdaq: MELI) (“MercadoLibre”) announced today that it had successfully closed its registered public offering of $400 million 2.375% notes due 2026 (“2026 Sustainability Notes”) and $700 million 3.125% notes due 2031 (the “2031 Notes”), which it had priced on January 7, 2021. MercadoLibre intends to use the proceeds of the 2026 Sustainability Notes to finance or refinance ongoing or new projects with social or environmental impacts. With this offering, MercadoLibre, the leading technology company in e-commerce and fintech in Latin America, intends to promote triple impact projects across the region, within the framework of its sustainability strategy. The proceeds from the 2031 Notes will be allocated to the repurchase of up to half the outstanding principal amount of MercadoLibre’s 2.00% Convertible Senior Notes Due 2028 at a substantial premium to their par value, as well as the premium for certain capped call transactions. With the proceeds of the 2026 Sustainability Notes, MercadoLibre intends to increase its investment in three priority areas. The first is financial inclusion, by increasing credits for SMEs and entrepreneurs. The second is the reduction of its environmental footprint through a greater implementation of renewable energies, energy efficiency projects, the acquisition of sustainable packaging materials and the expansion of the scope of zero-emission mobility to promote the vehicular transformation of its logistics network. The third is social development and empowerment through education, to reduce the digital divide and promote the inclusion of young people in the job market. “At MercadoLibre, we are propelled forward by the drive to transform. The pricing of our first sustainable bond is a new milestone in our 21-year history. In this sense, the growth of our platform increasingly demands that we contribute to the societies in which we operate, to be efficient in our energy consumption, to move towards increasingly cleaner transportation and to come up with innovating strategies to mitigate our social and environmental impacts throughout the entire v...