Latham & Watkins Advises on Methanex Corporation’s Upsized US$600 Million Senior Notes Offering

Methanex Corporation (TSX:MX) (NASDAQ:MEOH) (Methanex) announced that its wholly owned subsidiary, Methanex US Operations Inc., has priced an offering of US$600 million aggregate principal amount of 6.250% senior notes due 2032 (the Notes) in a private offering (the Offering) exempt from the registration requirements of the United States Securities Act of 1933, as amended (the Securities Act). The size of the Offering was increased to US$600 million from the previously announced offering size of US$500 million in aggregate principal amount of notes. The Notes will be issued at a price of 99.289% of the aggregate principal amount, with an effective yield to maturity of 6.375%, and will be guaranteed on a senior basis by Methanex.

Methanex intends to use the net proceeds from the Offering to fund a portion of the cash purchase price of its previously announced agreement to acquire OCI Global’s international methanol business. Latham also advised on the committed financing for the merger.

Latham & Watkins LLP represents the initial purchasers in the offering with a corporate team led by Austin partners David Miller, Michael Chambers, and Samuel Rettew, with associates Paul Robe, Zainab Hashmi, Carol Bale, and Armaan Bhimani. Advice was also provided on environmental matters by Los Angeles/Houston partner Joshua Marnitz, with associate Bruce Johnson; on tax matters by Houston partner Bryant Lee, with associate Molly Elkins; and on finance matters by associate Erin Cusenbary.