Barros & Errázuriz advised COPEC and Kaufmann in all legal matters associated with the joint venture incorporated for purposes of supplying 215 electric buses and its related charging infrastructure to Servicio de Transporte de Personas Santiago S.A., a current operator of the public passenger Transport System of Santiago for a 10-year period. Servicio de Transporte de Personas Santiago S.A., as current operator of the Santiago public passenger transportation system, entered into a concession contract with the Chilean Ministry of Transport and Telecommunications.

As part of the advise, B&E assisted COPEC, Kaufmann and the Joint Venture in the drafting, preparation and negotiation of all project agreements with Servicio de Transporte de Personas Santiago S.A. and the Chilean Ministry of Transport and Telecommunications including among other the leasing agreement, supply and maintenance agreements, among others, insurance and warranties associated with the infrastructure supplied, as well in all the financing agreements associated with the transaction. Some of the buses warranties are granted by Chinese suppliers which required also a legal analysis on the legal framework associated thereto under Chinese Law.

The project was financed on an international “project finance” basis, and as such B&E, advised COPEC and Kaufmann and the Joint Venture in the financing of the transaction that was granted by Societe Generale and BNP Paribas, on the senior loan side, and by Banco Security, on the VAT financing side.

The transaction was highly complex taking into account the very large negotiations with Chilean Ministry of Transport and Telecommunications and Servicio de Transporte de Personas Santiago S.A., as well as the parallel negotiation with the Lenders requiring great levels of coordination among the financing counsels, including several jurisdictions and different time zones (China, France, USA and Chile).