USMP Bond Issue

completed

Universidad San Martín de Porres (USMP or the University), the biggest private university in Peru, founded in 1962 and providing education to more than 27,500 students, is issuing a bond of up to 7-year maturity to partially finance USMP’s $34 million modernization program, to be implemented over a two-year period and consisting of: - expansion of the Communication Sciences campus; - construction and equipment of a new building for the University’s dentistry school; - upgrade of the existing facilities of the University clinic; and - restructuring of an existing syndicated loan. This expansion and renovation of its infrastructure is in line with USMP’s overall strategy of maintaining its market share in the competitive environment of the higher education market in Lima, improve its academic standards, and, eventually, increase its presence outside of the Peruvian capital. USMP has requested IFC to provide a partial guarantee to the issue, so that the bond can obtain a rating of AA+ or higher and be placed with local pension funds, insurance funds and other institutional investors.