LATAM Airlines commences cash tender offer for TAM Capital senior notes

LATAM Airlines Group S.A. (NYSE: LFL) (IPSA: LAN) and affiliates, TAM Capital Inc. , TAM Capital 3 Inc. and Citigroup Global Markets Inc. have commenced an offer to purchase for cash up to a USD462,500,000 aggregate principal amount of the outstanding 7.375 percent senior guaranteed notes due 2017, and 8.375 percent senior guaranteed notes due 2021, the company said.

The 2017 notes and the 2021 notes are guaranteed by TAM S.A. and TAM Linhas Aéreas S.A. The Tender Offer is being made by on behalf of the issuers pursuant to the offer to purchase dated October 5, 2016. The company said the principal purpose of the tender offer is to acquire up to the aggregate maximum tender amount of the outstanding notes.

The sole dealer manager for the tender offer is Citigroup Global Markets, Inc.

LATAM Airlines Group S.A. is the new name given to LAN Airlines S.A. as a result of its association with TAM S.A. LATAM Airlines Group S.A. now includes LAN Airlines and its affiliates in Argentina, Chile, Colombia, Ecuador and Peru, and LAN Cargo and its affiliates, as well as TAM S.A. and its subsidiaries TAM Linhas Aereas S.A., including its business units TAM Transportes Aereos del Mercosur S.A., (TAM Airlines (Paraguay) and Multiplus S.A. The company provides passenger transport services to 135 destinations in 23 countries and cargo services to 138 destinations in 31 countries, with a fleet of 330 aircraft as of June 30, 2016.