Chadbourne & Parke LLP represented Mexican government mortgage FOVISSSTE in two recent large deals. The first deal, completed on August 8, was a private cross-border mortgage backed securitization worth approximately US$450 million. The second deal, completed on August 22, was an approximately $US325 million issuance of its TFOVI program in the Mexican Stock Exchange.

The cross-border securitization was the first such deal completed by FOVISSSTE during the volatility in the international markets. Goldman Sachs International acted as the placement agent for the securitization, which had an AAA rating on the local scale and is backed by mortgage loans granted by the entity.

The TFOVI issuance also received a rating of AAA and made FOVISSSTE the second biggest issuer behind PEMEX.

“We are very pleased with this cross-border deal which evidences that well structured deals may be sold even in difficult market conditions,” said Boris Otto, managing partner of Chadbourne’s Mexico City office.

“The investors responded very positively even though the two placements took place very close together. It was a good strategy for diversification from FOVISSSTE,” says Alejandro Landa, Chadbourne counsel.

Principal attorneys working on the deals for Chadbourne included partners Boris Otto and Marc Rossell, counsel Alejandro Landa and associate Mariana Romero.