LATAM CLOSE-No deals price in LatAm primary market

miércoles 7 de septiembre de 2016 16:05 GYT
 

* Mexico president replaces FinMin after damaging Trump visit
    * Brazil's JSL picks banks for roadshows
    * Mexico's Inbursa eyes 10-year dollar bond
    * Brazil's BRF launches tender offer for 2020, 2022 bonds
    * Odebrecht loan holds up Peru's GSP sale

    By Mike Gambale
    NEW YORK, Sept 7 (IFR) - No deals priced in the LatAm market on Wednesday.
    
    Here is a snapshot of LatAm sovereign spreads:
     SOVEREIGN      9/6   9/2   9/1   1D   10D  YTD    2015/16 HIGH
 ARGENTINA          429   431   443   -2   -13   -          -
 BARBADOS           665   660   666    5   -3    61   659 (2/11/16)
 BRAZIL             283   282   289    1    5   -203  542 (2/11/16)
 CHILE               67    62    65    5    4   -19   143 (2/11/16)
 COLOMBIA           210   210   214    0    5   -79   412 (2/11/16)
 COSTA RICA         383   379   383    4    0   -134  587 (2/11/16)
 DOMINICAN REP      346   344   347    2   10   -69   542 (2/11/16)
 ECUADOR            891   890   895    1    2   -424  1765 (2/11/16)
 EL SALVADOR        462   465   468   -3   -35  -178  840 (2/11/16)
 GUATEMALA          238   234   236    4    2   -64   385 (2/11/16)
 JAMAICA            393   393   395    0    6   -56   519 (2/11/15)
 MEXICO             163   163   167    0    3   -31   278 (2/11/16)
 PANAMA             152   153   158   -1    1   -54   272 (2/11/16)
 PERU               157   155   158    2    3   -74   291 (2/10/16)
 TRINIDAD & TOBAGO  215   210   212    5   25   117   173 (1/15/15)
 URUGUAY            217   214   217    3    6   -51   344 (2/11/16)
 VENEZUELA          2454  2476  2553  -22  14   -338  3713 (2/12/16)
    Source: Bank of America Merrill Lynch Master Index
    
    SPREAD TRENDS:
    One-day change most sovereigns flat to wider
    Ten-day trend 13 out of 17 sovereigns wider
    YTD: Chile tighter by 19bp
    YTD: Jamaica tighter by 56bp
    YTD: Mexico tighter by 31bp
    
    PIPELINE:
    Brazilian beef company Minerva is out with initial price thoughts of 7% area
on a 10-year non-call five ahead of expected pricing on Thursday. 
    Bank of America Merrill Lynch, HSBC, Itau and JP Morgan are taking the
borrower on the road, while also acting as dealer managers and solicitation
agents on a tender for its outstanding 7.75% 2023s. 

    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 will then
meet 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 will split into two teams, visiting Singapore on September 8,
London and Hong Kong on September 9, 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 will visit 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+.
    
    BRF
    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)