Endesa Chile unit agrees to restructuring of debt held by Mitsubishi

By Caroline Salls

Pittsburgh, Oct. 29 – Empresa Nacional de Electricidad SA (Endesa Chile) subsidiary Endesa Costanera SA and Mitsubishi Corp. agreed to restructure the debt held by Mitsubishi Corp., according to a 6-K filed Wednesday with the Securities and Exchange Commission.

Under the restructuring, $66.06 million of accrued interest will be pardoned.

The agreement also calls for the rescheduling of $120.61 million of capital maturities for 18 years, with a grace period of 12 months. The debt must be completely paid before Dec. 15, 2032.

Endesa must pay at least $3 million of annual capital payments. The payments will be made in quarterly installments with a 0.25% interest rate.

Endesa is expected to make a $5 million payment of overdue debt over the next 15 business days as a condition to the agreement.

According to the filing, the estimated effects for Endesa Chile will be additional earnings of $104 million and a $138 million reduction in financial debt.

Endesa Chile is a generator and supplier of electricity and is based in Santiago.

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