Arias, Fábrega & Fábrega advised Prival Bank S.A., as arranger and underwriter, in connection with the structuring of a US$27.5 million registered bond offering to be made by Generadora Alto Valle, S.A. as issuer to finance the construction of run-of-the-river hydroelectric project located in the province of Chiriquí, Panama.  The bonds, to be issued in three series, have been registered with the Superintendency of Capital Markets and listed on the Panama's Stock Exchange.

The bonds are secured by a trust constituted by the issuer, as settlor, and Global Financial Funds Corp., as trustee.  Under the trust agreement and other security documents, the issuer has transferred to or constituted a lien in favor of the trustee on substantially all the project's assets, since the transaction followed a project finance structure.  Some assets will be encumbered in favor or transferred to the trustee at a later date as disclosed in the offering documents.

In addition to the above, Panama Power Holdings, Inc., the holding company of the issuer, also pledged its shares on the issuer in favor of the trustee and issued a corporate guaranty in both cases to secure and guarantee the timely payment of the bonds.