Petrobras bonds keep dropping on unit sale news
By Paul Kilby
NEW YORK, Jan 20 (IFR) - Petrobras bonds found little respite on Wednesday after the Brazilian oil company announced it had begun negotiations to sell its Argentina unit.
The company's curve was down about 1.25 to two points in what was another ugly session for Latin American credit markets after US crude hit a 13-year low.
Petrobras's benchmark 2024s were being quoted at 65.75-66.25, a two point drop since Friday and nearly a six-point fall since the beginning of the year.
While the sale of the unit is seen as credit-positive, it is likely to make just a dent in the company's more than US$12bn of refinancing needs for this year.
"While the closing of the sale would be positive, it would not reduce Petrobras's refinancing risk significantly," Moody's said. (Reporting by Paul Kilby; Editing by Marc Carnegie)
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