UPDATE 2-Argentina to cap new bond at US$15bn: sources

viernes 8 de abril de 2016 15:10 GYT

(Adds second source, quote)

By Davide Scigliuzzo

NASSAU, April 8 (IFR) - Argentina will cap its first international bond in 15 years at US$15bn, two sources with knowledge of the matter told IFR on Friday before the sovereign meets investors next week.

The country is targeting maturities of five, 10 and 30 years on the bond, which is expected to come to market as early as April 18, the two sources said.

Argentina is looking to raise at least US$12bn - enough to cure its 2014 default and resume payments on restructured bonds.

But it could push the sale to US$15bn, depending on the pricing level, the sources said.

While some investors had expected the sovereign to push the bond deal to a much larger amount to help plug this year's fiscal deficit, officials have made clear they will stick to US$15bn ceiling for now.

"They want to tie off this deal. This is what they got through Congress," one of the sources said. "They will do this trade and come back."

The bonds will be issued in the 144A format only, which would restrict participation to larger institutional investors while allowing the sovereign to move more quickly, said the second source, who attended a presentation held at the finance ministry in Buenos Aires on Friday morning.   Continuación...