Hunton & Williams Represents the Inter-American Development Bank
(March 27, 2006)
Hunton & Williams Represents the Inter-American Development Bank in Groundbreaking $75 Million Brazilian Mortgage Securitization Transaction
Miami, FL -- March 27, 2006 - The Miami office of Hunton & Williams today announced the closing of a $75 million warehouse loan facility extended by the Inter-American Development Bank ("IDB") to Brazilian Securities Companhia de Securitiza‡Æo ("Brazilian Securities"). The warehouse loan facility will allow Brazilian Securities to acquire portfolios of residential and commercial mortgage loans and commercial leases for repackaging and selling in securitization transactions in the Brazilian market. The proceeds of the securitization issuances will then be used to purchase new portfolios and the cycle will be repeated.
The primary purpose of the loan is to foster the development of the real estate securitization market in Brazil and to support the country's primary and secondary mortgage markets as well as the Brazilian government's efforts to close the housing gap and promote growth in the construction sector.
"This is a groundbreaking transaction for IDB and Brazil," said Allen D. Moreland, who advised the IDB on this deal. "This is one of the first instances in Latin America and certainly in Brazil where an international lender is lending against mortgage receivables denominated in local currency. This demonstrates increased confidence in the stability of the Brazilian market." Moreland, lead attorney on the transaction, was assisted by Daniela Rost, also of the Miami office of Hunton & Williams.
"The transaction is one of many asset securitization transactions Allen Moreland and his team have handled on behalf of Hunton & Williams in Latin America over the last several years," said Fernando C. Alonso, Chairman of the Latin America Practice group. "The firm has been active in Latin America for more than 30 years now, and has been involved in asset securitization since its inception. This transaction brings together two of our most prominent practices, resulting in an innovative result for our client and the Brazilian economy."
Maria Florencia Attademo-Hirt and Rosemary Jeronimides served as in-house counsel for the IDB. Jos‚ Carlos Junqueira S. Meirelles, Luciano Garcia Rossi, Bruno Enrico Amatuzzi, Enrico Bentivegna and Graciema A. A. GalvÆo, of Pinheiro Neto Advogados served as local counsel to the IDB. Brazilian Securities Companhia de Securitiza‡Æo was represented by in-house counsel Fernanda Costa do Amaral.
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Hunton & Williams LLP provides legal services to corporations, financial institutions, governments and individuals as well as a broad array of other entities. Since its establishment more than a century ago, Hunton & Williams has grown to more than 850 attorneys serving clients in 100 countries from 17 offices around the world. While Hunton & Williams' practice has a particular emphasis on commercial litigation, corporate and structured finance, corporate transactions, energy and environmental law, government relations and intellectual property, the firm's depth and breadth of experience extends to more than 60 separate practice areas.