Eton Park to subscribe 70M shares of Financiera Independencia

Microfinance Focus, Dec. 21, 2009: mexican microfinance lender Financiera Independencia has signed an agreement with fund-managers Eton Park Capital Management, by which Eton Park will subscribe for 70 million shares pursuant to the capital increase announced by the company in November.
In return, Eton Park will have the right to subscribe for an additional 45 million shares (25 million at 14 pesos per share and 20 million at 13.50 pesos per share) of the company. This right may be exercised at any time during the following 5 years.
In order to have the shares available in case Eton Park does exercise this right, Independencia will propose a capital increase resulting in treasury stock of 45 million shares at its annual Shareholders’ Meeting (which shall be held no later than April 2010).
If Eton Park exercises its right to subscribe for the additional shares, Independencia will receive Ps. 620 million. The proceeds of that additional capital will provide capacity for future potential consolidation opportunities.

Mr. Noel Gonzalez, Chief Executive Officer of Independencia, commented: “We are pleased to have Eton Park as an investor in our Company. The active participation of such a highly regarded institutional investor with an impressive track record and experience in Latin America can add substantial value to Independencia.”

Credit Suisse Securities (USA) LLC acted as placement agent for this transaction.

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