Deal · Brazil
DLA Piper, Hughes Hubbard and other international firms advise on USD 1.125 billion financing for Gerdau
DLA Piper, Hughes Hubbard and other international firms took part in a USD 1.125 billion credit facility for Gerdau, involving nine banks and borrowers in seven jurisdictions
DLA Piper Peru advised the group of financial institutions that extended a revolving credit facility of USD 1.125 million to Brazilian steelmaker Gerdau and several of its subsidiaries, in a cross-border transaction involving borrowers in Argentina, Brazil, the British Virgin Islands, Canada, Mexico, Peru and the United States.
The financing, which closed on 31 August 2026, was one of the period’s most significant regional banking transactions by size, its multi-jurisdictional structure and the number of firms advising lenders and borrowers.
The DLA Piper Peruteam, one of the aspects of particular interest to Latin Counsel, comprised Sergio Barboza, Ricardo Mercado Espinosa and Alexandra del Río Cárdenas, based in Lima. The firm advised the group of financial institutions alongside Hughes Hubbard & Reed, Pinheiro Neto Advogados, Creel, García-Cuéllar, Aiza y Enríquez and Allende & Brea.
The participating banks were Banco Bilbao Vizcaya Argentaria (BBVA), Banco Santander, Bank of America, BNP Paribas, Citibank, Crédit Agricole Corporate and Investment Bank, JPMorgan Chase Bank, Mizuho Bank and Natixis. Crédit Agricole Corporate and Investment Bank acted as facility agent.
The facility was structured as a senior unsecured revolving corporate credit facility, intended to fund general corporate purposes of the Gerdau group and its subsidiaries. The new financing replaced a previous facility of USD 875 million, increasing the company’s available committed capacity by approximately 29% .
The facility has an initial term of five years, with a scheduled maturity in August 2031and the option to extend it for a further year.
