LATAM CLOSE-No deals price in LatAm primary market
* CAF picks banks for 5-year Kangaroo bond * Pacific Exploration delays interest payment * Election shake-up may present risks in Peru: Nomura By Mike Gambale and Paul Kilby NEW YORK, March 21 (IFR) - No deals priced in the LatAm primary market on Monday. Here is a snapshot of LatAm sovereign credit spreads: SOVEREIGN 3/18 3/17 3/16 1D 10D YTD 2015/16 HIGH BARBADOS 646 644 639 2 5 42 659 (2/11/16) BRAZIL 383 405 432 -22 -41 -103 542 (2/11/16) CHILE 86 84 90 2 0 0 143 (2/11/16) COLOMBIA 262 269 302 -7 -43 -27 412 (2/11/16) COSTA RICA 500 509 509 -9 -10 -17 587 (2/11/16) DOMINICAN REP 416 423 441 -7 -28 1 542 (2/11/16) ECUADOR 1054 1139 1193 -85 -295 -261 1765 (2/11/16) EL SALVADOR 669 668 672 1 26 29 840 (2/11/16) GUATEMALA 306 306 305 0 -11 4 385 (2/11/16) JAMAICA 466 461 463 5 -1 17 519 (2/11/15) MEXICO 191 194 201 -3 -15 -3 278 (2/11/16) PANAMA 192 194 202 -2 -6 -14 272 (2/11/16) PERU 205 204 216 1 -21 -26 291 (2/10/16) TRINIDAD & TOBAGO 158 175 182 -17 -24 60 173 (1/15/15) URUGUAY 269 266 269 3 2 1 344 (2/11/16) VENEZUELA 2895 2891 2971 4 -105 103 3713 (2/12/16) Source: Bank of America Merrill Lynch Master Index SPREAD TRENDS: One-day change shows Ecuador and Brazil tighter by 85bp and 22bp, respectively Ten-day trend shows Ecuador tighter by 295bp Seven out of sixteen LatAm sovereigns tighter YTD LATAM PIPELINE: Latin American development bank Corporacion Andina de Fomento has mandated ANZ and Deutsche Bank for a five-year Kangaroo bond offering. CAF last visited the Australian market on September 3 2015 for a A$50m (A$38m) tap of its 4.5% June 5 2025 line, which lifted the issue size to A$325m. The reopening priced at 101.731 to yield at 4.28%, equivalent to 135bp over asset swaps and 158bp wide of the April 2025 Australian Commonwealth government bond. CAF, rated Aa3/AA-/AA-, issued its inaugural A$275m 4.25% three-year Kangaroo on August 21 2013 before reopening the line six days later for a A$75m tap. The bond matures in six months. On October 30 2013, CAF sold a A$225m 6.25% 10-year bond. 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 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 program. 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 conditions. (Reporting By Michael Gambale; editing by Shankar Ramakrishnan)
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