EDENOR Form 6-K Summary: Subscription Notice for Floating Rate Notes
Business Context and Reporting Period
This Form 6-K, filed on April 23, 2009, by Empresa Distribuidora y Comercializadora Norte S.A. (EDENOR), serves as a public subscription notice for a new debt issuance. The filing announces the offering of Floating Rate Class 8 Notes due 2013 within the framework of EDENOR's Global Medium Term Corporate Notes Issuance Program. The subscription period for these notes is scheduled from April 23, 2009, to April 29, 2009.
Key Financial Metrics and Debt Structure
The filing details the terms of the proposed debt issuance rather than reporting operational financial results such as revenue or profit.
- Principal Amount: Up to Ps. 150,000,000 (Argentine Pesos).
- Currency: Issued, subscribed, and integrated in Argentine Pesos.
- Interest Rate: Variable rate equal to the Reference Rate (greater of average Private BADLAR Rate or 8% per annum) plus a Margin to be determined.
- Payment Frequency: Interest is payable quarterly.
- Maturity and Amortization: The notes mature four years from the issuance date (May 4, 2009). Principal is amortized through 13 equal consecutive quarterly payments starting one year after issuance.
- Minimum Subscription: Ps. 1,000.
- Credit Ratings:
- Standard & Poor's: "raA" (Stable Outlook).
- Moody's: "A1.ar" (National) and "B2" (Global) (Stable Outlook).
- Evaluadora Latinoamericana S.A.: "A".
The filing text does not provide current values for revenue, net profit, operating cash flow, or existing total debt levels.
Material Changes and Outlook
This document does not report material changes in operating performance compared to prior periods. It is a disclosure of a capital market transaction. The outlook is tied to the successful execution of the subscription period and the subsequent listing of the notes.
Risks, Contingencies, and Unusual Items
- Listing Uncertainty: EDENOR has requested authorization for the listing of the Notes on the Buenos Aires Stock Exchange (BCBA) and negotiation on Mercado Abierto Electronico S.A. However, these authorizations have not been granted as of the filing date, and the Company cannot guarantee they will be granted.
- Regulatory Disclaimer: The filing notes that authorization by the National Securities Commission (CNV) only indicates that disclosure requirements have been met; the CNV has not endorsed the information.
- Variable Rate Risk: Interest payments are subject to fluctuations in the Private BADLAR Rate, with a floor of 8% per annum.
Key Facts for Investor Verification
- Verify the final determination of the "Margin" to be added to the Reference Rate, as this was not disclosed in this notice.
- Confirm whether the BCBA and Mercado Abierto Electronico S.A. grant the requested listing and negotiation authorizations.
- Review the full "Prospectus" and "Pricing Supplement" dated April 20, 2009, for complete risk factors and distribution plans.
- Monitor the final principal amount issued, which will be determined based on the results of the sale during the subscription period.