LATAM CLOSE-Four primary deals for US$3.85bn priced this week
* Petrobras US$3bn tap accounts for bulk of week volume * Contentious Peru bond could pay off handsomely for Gramercy fund * Brazil police launch probe into Panama's FPB Bank By Mike Gambale NEW YORK, July 8 (IFR) - No deals priced in the LatAm primary market on Friday. Here is a snapshot of LatAm sector spreads: SOVEREIGN 7/7 7/6 7/5 1D 10D YTD 2015/16 HIGH ARGENTINA 505 499 496 6 43 - - BARBADOS 699 698 700 1 56 95 659 (2/11/16) BRAZIL 329 325 326 4 -8 -157 542 (2/11/16) CHILE 96 99 105 -3 3 10 143 (2/11/16) COLOMBIA 239 238 238 1 -5 -50 412 (2/11/16) COSTA RICA 437 443 446 -6 -14 -80 587 (2/11/16) DOMINICAN REP 396 402 407 -6 -6 -19 542 (2/11/16) ECUADOR 932 932 939 0 13 -383 1765 (2/11/16) EL SALVADOR 615 650 655 -35 -41 -25 840 (2/11/16) GUATEMALA 283 294 300 -11 7 -19 385 (2/11/16) JAMAICA 453 459 470 -6 20 4 519 (2/11/15) MEXICO 182 181 185 1 -4 -12 278 (2/11/16) PANAMA 191 191 193 0 -2 -15 272 (2/11/16) PERU 186 188 189 -2 -5 -45 291 (2/10/16) TRINIDAD & TOBAGO 224 238 241 -14 18 126 173 (1/15/15) URUGUAY 246 249 253 -3 2 -22 344 (2/11/16) VENEZUELA 2712 2705 2707 7 55 -80 3713 (2/12/16) Source: Bank of America Merrill Lynch Master Index SPREAD TRENDS: One-day change El Salvador tighter by 35bp Ten-day trend Argentina and Venezuela wider by 43bp and 55bp, respectively YTD: Brazil tighter by 157bp YTD: Ecuador tighter by 383bp PIPELINE: Mexico's consumer finance lender Credito Real (BB+/BB+) has hired Barclays, Deutsche Bank and Morgan Stanley to arrange a series of meetings with fixed-income investors in the US, Europe and Latin America ahead of a potential 144A/Reg S US dollar-denominated bond issue. The meetings will take place in London on July 8, Boston, Los Angeles and Lima on July 11, and New York and Santiago on July 12. Proceeds from the sale will help finance a tender on Credito Real's 7.5% 2019s, on which the company has US$425m outstanding, according to Thomson Reuters data. Argentina's Banco de Galicia y Buenos Aires has hired Deutsche Bank and JP Morgan as joint bookrunners and Standard Chartered as lead manager to arrange a series of meetings with fixed-income investors ahead of a potential 144A/Reg S US dollar-denominated Basel III compliant Tier 2 bond issue. The lender is looking to raise up to US$300m through the 10-year bond sale, according to Moody's. The meetings will take place in London and the West Coast on July 11, New York and Boston on July 12 and New York on July 13. The Province of Chubut has hired Bank of America Merrill Lynch and BNP Paribas to arrange a series of investor meetings ahead of a potential US dollar-denominated bond sale. The borrower will visit investors in Europe and the US and wrap up meetings on July 14. It is seeking to raise US$500m through amortizing notes due 2026, according to Moody's, which assigned a B3 rating to the issue earlier this month. The notes will be secured by a percentage of hydrocarbon royalties to be paid by the Argentine branch of Pan American Energy to the province, the rating agency said. Argentina infrastructure company CLISA is meeting investors ahead of a bond offering and liability management exercise. The company is scheduled to visit accounts in Chile, Switzerland, London, Boston, New York and Los Angeles between July 1 and July 13. The bond is being done in conjunction with a cash tender for US$87.106m of outstanding 11.50% notes due 2019. BCP and Santander are acting as dealer managers on the tender and leads on the bond sale. Petrobras Argentina is preparing an up to US$500m bond sale to fund a tender for all of its US$300m of outstanding 5.875% 2017s, according to a filing with local regulators. The borrower is seeking to raise 10-year money and has mandated Citigroup and Deutsche on the deal. The announcement comes after Pampa Energia agreed earlier this year to purchase a 67.2% stake in Petrobras Argentina for US$892m. Petrobras Argentina's is rated B3 by Moody's. Argentine power company Pampa Energia will also hire four banks to lead a new international bond sale that will refinance debt taken out to fund its acquisition of Petrobras's Argentine assets. The company plans to hire Deutsche Bank, Citigroup, ICBC and Banco Galicia to lead the bond sale, which will refinance a US$700m bridge loan extended by the same lenders, Pampa chairman Marcelo Mindlin told IFR. Mexican real-estate developer Grupo GICSA has finished investor meetings through JP Morgan and Santander. The company has been marketing a US dollar bond, which is expected to be rated BB/BB-. Celulosa Argentina is readying a US$200m seven-year seniour unsecured bond sale. Moody's assigned a B3 rating to proposed notes. The pulp and paper company has been in discussions with bankers from Citigroup and Credit Suisse about financing options, the company said. Bolivia is hoping to sell an up to US$1bn 10-year bond in the coming months, according to Economy Minister Luis Arce Catacora. Proceeds would go mainly towards investment in healthcare, specifically hospitals. Bolivia is rated BB by S&P and Fitch and one notch lower at Ba3 by Moody's. (Reporting by Mike Gambale; editing by Shankar Ramakrishnan)
© Thomson Reuters 2017 All rights reserved.