NEW YORK, Aug 4 (IFR) - The Republic of Paraguay has opened books on a new 30-year US dollar-denominated bond issue, according to market sources.
The sovereign, rated Ba2/BB/BB-, has set initial price thoughts at 6.375% area for the issue, which is expected to be benchmark-sized.
Paraguay will use proceeds to finance infrastructure and energy projects as well as to provide support for certain sectors of the economy.
Bank of America Merrill Lynch and JP Morgan are the lead managers on the 144A/Reg S transaction, which is expected to price later Monday. (Reporting by Davide Scigliuzzo; Editing by Marc Carnegie)