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Introduction to Commercial Paper Issuance

Commercial papers are financial instruments used by companies to raise funds directly in the market. This process involves several stages, from registering issuers and investors, through defining financial conditions, to the formal issuance of securities. Each stage is crucial to ensure regulatory compliance and efficiency in the fundraising process.

Overview of the Issuance Process​

The commercial paper issuance process is structured in several stages that ensure transparency, security, and control. Below are the main steps of the process:

  1. Issuer and Investor Registration
    Companies that want to issue commercial papers and investors interested in acquiring these securities need to be registered in the system. Registration includes detailed information, such as documents and bank accounts.

  2. Operation Conditions Definition
    The issuer defines the financial conditions of the operation, including interest rates, number of installments, issuance and maturity dates, as well as any fees and charges.

  3. Simulation
    Before formal issuance, a simulation is performed to calculate issuance values, installment flow, and other financial details. This stage allows adjusting operation conditions according to the needs of issuers and investors.

  4. Related Parties Registration and Documentation
    Includes registering involved parties, such as guarantors and co-obligors, and sending relevant documents, such as contracts and terms.

  5. Document Generation and Signing
    Drafts of main documents are generated, such as the Adhesion Term and Constitutive Term. After approval, documents are sent for electronic signature.

  6. Submission for Analysis and Approval
    The operation is submitted for compliance and back-office analysis, ensuring that all regulatory and contractual requirements are met.

  7. Formal Issuance and Registration
    After approval, commercial papers are formally issued and made available to investors.

Starting from the next pages, we will explore in detail each stage of the commercial paper issuance process, including endpoints and practical examples to integrate your system with the API.