LATAM CLOSE-America Movil taps LatAm primary with Euro 2-part

lunes 7 de marzo de 2016 16:32 GYT

* America Movil sell first deal in LatAm in 9 days
    * America Movil sees 10bp in price progression
    * Rally in oil boosts LatAm sentiment
    * Lula detention on Friday seen as sweeping of old guard

    By Mike Gambale
    NEW YORK, March 7 (IFR) - Below is a recap of primary issuance activity in
the Latin America market on Monday:
    Number of deals priced: 1
    Total issuance volume: EUR1.5bn
    America Movil (A2/A-/A) launched a EUR1.5bn dual-trade offering, raising
EUR850m through an eight-year note and EUR650m through a 12-year tranche.
    The eight-year priced at 120bp over mid-swaps, 10bp inside IPTs and at the
tight end of guidance. The 12-year priced at plus 150bp and was also 10bp inside
IPTs and the tight end of guidance. Joint-leads are Citi, HSBC and SG CIB.
    Here is a snapshot of LatAm sovereign credit spreads:   
     SOVEREIGN       3/4   3/3   3/2   1D   10D   YTD   2015/16 HIGH
 BARBADOS            642   648   645   -6   -11   38   659 (2/11/16)
 BRAZIL              415   434   458   -19  -80   -71  542 (2/11/16)
 CHILE                85    88    90   -3   -27   -1   143 (2/11/16)
 COLOMBIA            305   312   326   -7   -50   16   412 (2/11/16)
 COSTA RICA          518   525   536   -7   -51    1   587 (2/11/16)
 DOMINICAN REP       442   446   448   -4   -49   27   542 (2/11/16)
 ECUADOR             1380  1403  1382  -23  -140  65   1765 (2/11/16)
 EL SALVADOR         644   647   638   -3   -129   4   840 (2/11/16)
 GUATEMALA           321   332   333   -11  -43   19   385 (2/11/16)
 JAMAICA             471   476   473   -5   -12   22   519 (2/11/15)
 MEXICO              206   212   215   -6   -31   12   278 (2/11/16)
 PANAMA              196   200   200   -4   -42   -10  272 (2/11/16)
 PERU                222   230   230   -8   -43   -9   291 (2/10/16)
 TRINIDAD & TOBAGO   183   189   187   -6    32   85   173 (1/15/15)
 URUGUAY             268   274   273   -6   -43    0   344 (2/11/16)
 VENEZUELA           3027  2981  2979  46   -21   235  3713 (2/12/16)
    Source: Bank of America Merrill Lynch Master Index
    Except for Venezuela, one-day change shows all LatAm sovereigns tighter
    Ten-day trend shows Ecuador, El Salvador and Brazil tightening the most
    Sovereigns tighter YTD: Brazil, Panama, Peru and Chile
    Raizen Energy launched a cash tender offer on its 7% due 2017 notes,
according to a regulatory statement. The Brazilian company plans to buy up to
US$200m of the outstanding US$400m notes. Raizen is seeking to buy the bonds
back at 100.25, with a US$30 early bird incentive added.
    The early deadline is March 4, with the final deadline on March 18.
Citigroup, Credit Agricole and JP Morgan are the dealer arrangers.
    Argentina will sell US$11.68bn worth of 5-, 10- and 30-year bonds under U.S.
law in mid April if Congress swiftly approves a debt deal for holdout creditors,
top finance ministry officials told Congress on Friday.
    Finance Secretary Luis Caputo told lawmakers who will debate the debt
agreement that the bonds would carry an interest rate in the region of 7.5
    Colombia has mandated BBVA, Goldman Sachs and JP Morgan to organize meeting
with fixed-income investors in Europe to discuss opportunities in the capital
markets this year.
    Finance Minister Mauricio Cardenas will attend the meetings, which start on
March 8 in London. Discussions continue in Germany on March 9, the Netherlands
on March 10 and in London again on March 11. Ratings are Baa2/BBB/BBB
(stable/negative/stable) by Moody's, S&P and Fitch.
    The Province of Buenos Aires will start fixed-income investor meetings this
week in Europe and the U.S. as it seeks to market a potential US dollar bond.
    The issuer has mandated Citigroup, HSBC and JP Morgan to take it on the road
and is scheduled to visit investors in London on March 4, New York on March 7
and Boston and Los Angeles on March 8. Ratings are Caa2/B-/B-
(positive/stable/stable). It could be an up to US$500m deal and could carry a
yield of between 9%-9.5%.
    The board of Argentine real estate developer IRSA has approved the issuance
of up to US$470m of debt, according to a filing with local regulators.
    The Province of Mendoza is looking to raise US$300m in both the local and
international markets to refinance debt, according to local reports. 
    Neuquen province is contemplating a bond issue. 
    The United Mexican States has filed an up to US$10bn debt shelf with the US
Securities and Exchange Commission. Proceeds will be used for general purposes,
including refinancing and the repurchase of debt.
    Argentine E&P company Medanito has wrapped up roadshows ahead of a possible
transaction through Itau and UBS. Expected rating is CCC+ by Fitch.
    Concesion Pacifico Tres, a toll-road concession in Colombia, wrapped up a
roadshow through Goldman Sachs. The company is looking to raise up to US$272m of
bonds, according to Fitch, which has rated the senior secured bonds BBB-.
    Pacifico Tres is jointly owned by Construcciones El Condor SA, Mario Alberto
Huertas Cotes, and Constructora MECO SA. Banca de Inversion is acting as its
financial advisor.
    Argentina utility Pampa Energia's shareholders have approved a US$500m debt
    Uruguay plans to raise up to US$1.5bn in bonds this year.
    Fomento Economico Mexicano, S.A.B. de C.V. (FEMSA), rated A- and A  by S&P
and Fitch, respectively, has mandated BBVA, Credit Suisse and Deutsche Bank to
arrange a series of fixed income investor meetings in Europe. 
    The investor meetings are expected to take place in the week commencing
March 7 2016. A euro-denominated bond transaction may follow subject to market

 (Reporting By Michael Gambale; editing by Shankar Ramakrishnan)