Natixis finances Seabras-1 telecom project

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
Natixis finances Seabras-1 telecom project

Seaborn Networks and Natixis has closed debt financing for Seabras-1, a new telecommunications link between the commercial and financial centers of Brazil and the United States.

Natixis acted as sole Structuring Bank, Underwriter, and Mandated Lead Arranger for the senior debt facilities.

Seabras-1 was developed by Seaborn, with equity being provided by Partners Group. Natixis also acted as exclusive Equity Advisor for the equity-raising process. On the debt side, Seaborn was advised by Portland Advisers.

The total project investment is estimated at US$500 million. The global amount of debt of approximately US$270 million was provided on a fully-underwritten basis by Natixis.

Seabras-1 will use next-generation coherent technology to deliver high-capacity and low latency telecommunications for one of the fastest-growing transoceanic routes in the world, offering point-topoint bandwidth and connectivity services between New York and São Paulo. Alcatel-Lucent Submarine Networks previously announced it commenced construction of Seabras-1 in September 2014.

The Seabras-1 cable network should become operational within the next two years and has already sold substantial capacity, including to Microsoft Corporation, which contracted with Seaborn in September 2014 to be a foundational customer on the subsea network. In addition, Tata Communications announced in January 2015 its investment for purchase of significant capacity on Seabras-1.

Larry Schwartz, Chairman and CEO of Seaborn, stated:

"We are extremely pleased to have accomplished this important project milestone with the guidance and support of Natixis. Seabras-1 has certainly benefited from the breadth and depth of experience that each of the Natixis teams has brought to this pioneering set of transactions."

Olivier Delay, Managing Director and Head of Global Infrastructure & Projects, Americas at Natixis, commented:

"We are delighted to work with Seaborn and Partners Group in the development of Seabras-1, which will be a key project aimed at improving communications between North and South America. Natixis is excited to have provided innovative and collaborative solutions to close the debt financing, complementing our already-strong relationship with Seaborn through our role as Equity Advisor. We look forward to continuing to work with these world-class partners as Seabras-1 moves from construction to operation."

We have recently reported about several telecom PPP projects:

List of country news

Country news

  • February 25, 2015

    Sorocaba launches tender for BRT concession

    The Brazilian municipality of Sorocaba, through the Municipal Secretariat of Mobility, has launched the tender process for the Sorocaba Bus Rapid Transit (BTR) PPP project. Read more
  • March 02, 2015

    IFC to invest $50m in GP Infrastructure Partners

    The international Finance Corporation (IFC), a member of the World Bank, has announced it is analyzing an investment of US$50 million in GP Infrastructure Partners L.P. Read more
  • March 05, 2015

    IFC financing sought for Brazilian waste-to-energy project

    The International Finance Corporation (IFC), a member of the World Bank, is analyzing providing financing for a Waste-to-Energy (WtE) facility in the municipality of Barueri, São Paulo, Brazil. Read more
  • March 13, 2015

    Sao Paulo municipality selects winner for street lighting PPP

    The city of Caraguatatuba, located in the state of São Paulo, has announced that Caraguá Light consortium is the preferred bidder for the city's street lighting PPP project. Read more
  • March 13, 2015

    Minas Gerais fines road concessionaire

    Brazillian state of Minas Gerais, through the Secretary of State for Transport and Public Works (SETOP), has fined concessionaire of the MG-050 PPP road project. Read more

Share this news

Join us

In order to get full access to News section, you must have a full subscription. You can check all the benefits of becoming a member and purchase a subscription on our membership page.