LATAM CLOSE-One trade for LatAm primary this week

viernes 9 de septiembre de 2016 15:33 GYT
 

* Usiminas approves debt renegotiation deal
    * EM bond funds draw record inflows - BAML
    * Investors say bid for Oi can win over creditors

    By Mike Gambale and Paul Kilby
    NEW YORK, Sept 9 (IFR) - No deals priced in the LatAm primary market on
Friday. 
    
    VOLUME STATISTICS
    THIS WEEK'S VOLUME:
    1 tranche for US$1bn
    
    SEPT VOLUME:
    1 tranche for US$1bn
    
    YTD VOLUME:
    76 tranches for US$74.723bn
    
    Here is a snapshot of LatAm sovereign spreads:    
     SOVEREIGN      9/8   9/7   9/6   1D   10D  YTD    2015/16 HIGH
 ARGENTINA          419   420   429   -1   -30   -          -
 BARBADOS           656   665   665   -9   -9    52   659 (2/11/16)
 BRAZIL             275   276   283   -1   -8   -211  542 (2/11/16)
 CHILE               60    64    67   -4   -3   -26   143 (2/11/16)
 COLOMBIA           195   200   210   -5   -13  -94   412 (2/11/16)
 COSTA RICA         372   380   383   -8   -3   -145  587 (2/11/16)
 DOMINICAN REP      334   344   346   -10  -2   -81   542 (2/11/16)
 ECUADOR            878   887   891   -9   -1   -437  1765 (2/11/16)
 EL SALVADOR        442   454   462   -12  -37  -198  840 (2/11/16)
 GUATEMALA          231   235   238   -4   -4   -71   385 (2/11/16)
 JAMAICA            379   387   393   -8    0   -70   519 (2/11/15)
 MEXICO             153   157   163   -4   -9   -41   278 (2/11/16)
 PANAMA             146   149   152   -3   -3   -60   272 (2/11/16)
 PERU               144   149   157   -5   -8   -87   291 (2/10/16)
 TRINIDAD & TOBAGO  209   215   215   -6   20   111   173 (1/15/15)
 URUGUAY            203   211   217   -8   -7   -65   344 (2/11/16)
 VENEZUELA          2385  2411  2454  -26  -96  -407  3713 (2/12/16)
    Source: Bank of America Merrill Lynch Master Index
    
    SPREAD TRENDS:
    One-day change all sovereigns tighter
    Ten-day trend 16 out of 17 sovereigns flat to tighter
    YTD: Chile tighter by 26bp
    YTD: Jamaica tighter by 70bp
    YTD: Mexico tighter by 41bp
    
    PIPELINE:
    Mexico's Banco Inbursa will start engaging investors this week as it seeks
to market a new US dollar 10-year senior unsecured bond, according to market
sources.
    The borrower will hold investor calls on Thursday in Mexico and met
investors in London and Boston on Friday. Roadshows finish on September 12 in
New York and Los Angeles. 
    Expected ratings are BBB+/BBB+. Bank of America Merrill Lynch, Citigroup and
Credit Suisse have been mandated as leads. 

    JSL, a logistics services provider operating in Brazil, will start roadshows
this week to market a possible 144A/Reg S senior unsecured US dollar bond.
    The borrower visited accounts in London and Hong Kong on Friday. Next week
it goes to Boston and Los Angeles on September 12 and New York on September 13.
BB Securities, Bradesco BBI, Morgan Stanley and Santander have been mandated on
the deal. Ratings are BB/BB by S&P and Fitch.
    
    Bankers are set to start marketing this week a Green bond to help fund the
construction and operation of Mexico City's new international airport.
    The bond, which is being issued through a special purpose trust, is expected
to be the first of up to US$6bn of such trades, allowing the borrower to create
an extensive curve over time.
    Bondholders will be paid through cash flows collected from passenger charges
from the current airport and the new Mexico City International Airport (NAICM)
that will start operations in 2020.
    The issuer visited accounts in Hong Kong on Friday and will then head to
Singapore on September 12, to London on September 13 and 14, Boston on September
15 and Los Angeles on September 16. Roadshows will wrap up in New York on
September 19 ahead of expected pricing.
    Citigroup, HSBC and JP Morgan are acting as global coordinators, while BBVA
and Santander are coming in as joint bookrunners. Expected ratings are
Baa1/BBB+/BBB+.

    Brazil's BRF GmbH, a wholly owned subsidiary of BRF SA, (rated Ba1/BBB/BBB)
has mandated BB Securities, Bradesco, Itau, JP Morgan and Santander to organize
a series of fixed-income investor meetings. A US dollar-denominated 144A/Reg S
senior unsecured bond issue with intermediate to long maturity is expected to
follow, subject to market conditions.
    The meetings will take place in New York, Los Angeles and London on Sept 12
and New York, Chicago and Boston on Sept 13.
    Earlier on Wednesday, the Brazilian food company launched a tender offer
targeting about US$291m in outstanding 2020 and 2022 bonds. The borrower is
offering purchase price of 112.75 on the 7.25% 2020s and 110.50 on the 5.875%
2022s. BNP Paribas, BTG Pactual and HSBC are acting as dealer managers on that
offer, which expires on September 14.

 (Reporting by Mike Gambale; editing by Shankar Ramakrishnan)