SÃO PAULO, April 8, 2019 /PRNewswire/ -- Companhia de Saneamento Básico do Estado de São Paulo – Sabesp ("SABESP" or "Company"), in compliance with Rule No. 358 issued by the Brazilian Securities and Exchange Commission ("CVM"), dated as of January 3, 2002, as amended, hereby informs its shareholders and the market in general that it was approved the 23th issuance of simple, unsecured and non-convertible debentures, in up to two series, for public distribution, with restricted placement efforts, pursuant to CVM Rule No. 476, dated as of January 16, 2009, as amended ("CVM Rule 476"), in the total amount of up to one billion and five hundred million reais (R$ 1,500,000,000.00) ("Debentures" and "Offer", respectively), being the Offer conditioned to the issuance of, at least, seven hundred and fifty thousand (750,000) Debentures, in the total amount of seven hundred and fifty million reais (R$750,000,000.00). The issuance and the number of Debentures to be placed in each serie, the remuneration of the Debentures and the total amount of the Offer will be defined according to the bookbuilding process, in the communicating vessels system.
The Offer will target professional investors only, in compliance with Article 9-A of CVM Rule 539, of November 13, 2013, as amended, and Article 2 of CVM Rule 476. According to Article 3 of CVM Rule 476, the Offer will be presented to a maximum of seventy-five (75) professional investors, though the Debentures may only be subscribed by a maximum of fifty (50) professional investors. The process of structuring of the Offer and distribution of the Debentures will be undertaken by a consortium of financial institutions belonging to the Securities Distribution System.
The proceeds from the issuance and offering of the Debentures will be used to refinance its financial commitments maturing in 2019 and to replenish the Company's cash position.
Rui de Britto Álvares Affonso
Chief Financial Officer and Investor Relations Officer
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