LATAM CLOSE-No trades price in LatAm primary market

lunes 12 de septiembre de 2016 15:37 GYT
 

* Brazil's Oi says board member Grodetzky has resigned
    * Moody's lowers Paraguay banking system outlook to negative
    * Chile's central bank likely to ease monetary policy near term: BAML

    By Mike Gambale and Paul Kilby
    NEW YORK, Sept 12 (IFR) - No deals priced in the LatAm primary market on
Monday.
    
    Here is a snapshot of LatAm sovereign spreads:
     SOVEREIGN      9/9   9/8   9/7   1D   10D  YTD    2015/16 HIGH
 ARGENTINA          436   419   420   17    2    -          -
 BARBADOS           645   656   665   -11  -14   41   659 (2/11/16)
 BRAZIL             285   275   276   10   10   -201  542 (2/11/16)
 CHILE               64    60    64    4   10   -22   143 (2/11/16)
 COLOMBIA           205   195   200   10    6   -84   412 (2/11/16)
 COSTA RICA         380   372   380    8   11   -137  587 (2/11/16)
 DOMINICAN REP      345   334   344   11   16   -70   542 (2/11/16)
 ECUADOR            880   878   887    2    9   -435  1765 (2/11/16)
 EL SALVADOR        451   442   454    9   -21  -189  840 (2/11/16)
 GUATEMALA          235   231   235    4   10   -67   385 (2/11/16)
 JAMAICA            378   379   387   -1    6   -71   519 (2/11/15)
 MEXICO             161   153   157    8    8   -33   278 (2/11/16)
 PANAMA             153   146   149    7   12   -53   272 (2/11/16)
 PERU               146   144   149    2    0   -85   291 (2/10/16)
 TRINIDAD & TOBAGO  204   209   215   -5   24   106   173 (1/15/15)
 URUGUAY            202   203   211   -1   -3   -66   344 (2/11/16)
 VENEZUELA          2450  2385  2411  65   11   -342  3713 (2/12/16)
    Source: Bank of America Merrill Lynch Master Index
   
    SPREAD TRENDS:
    One-day change, most sovereigns wider
    Ten-day trend, 14 out of 17 sovereigns flat to wider
    YTD: Colombia tighter by 84bp
    YTD: El Salvador tighter by 189bp
    YTD: Peru tighter by 85bp
    
    PIPELINE:
    Mexico's Banco Inbursa is marketing a new US dollar 10-year senior unsecured
bond, according to market sources. The roadshow finished Monday 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. 

    Argentina's YPF (B3/NR/B) has mandated Credit Suisse and UBS to arrange
fixed-income meetings in Switzerland on September 12-13. A potential debut Swiss
franc unsecured debt offering may follow.
    
    JSL, a logistics services provider operating in Brazil, is roadshowing a
possible 144A/Reg S senior unsecured US dollar bond. The borrower was in Boston
and Los Angeles on Monday 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 was in Singapore on Monday and will head 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 took place in New York, Los
Angeles and London on Monday and will finish in New York, Chicago and Boston on
Tuesday. The Brazilian food company has launched a tender offer targeting about
US$291m in outstanding 2020 and 2022 bonds. The borrower is offering a 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 Natalie Harrison)