Americas

A group of institutional investors owning international bonds issued by Suriname have agreed to grant the South American sovereign a third debt payment standstill after the issuer modified the terms of a consent solicitation.

KfW and CPPIB Capital achieved super tight pricings in the short end of the US dollar market on Thursday, with the former bringing the first deal with a negative spread to mid-swaps in the currency by a public sector borrower this year.

Chinese electric vehicle manufacturer Li Auto has raised $750m from its debut convertible bond, pricing the deal at the investor-friendly end of the marketed range.

Mexico’s deputy finance minister Gabriel Yorio told GlobalCapital on Wednesday that a block of Latin American countries was forming to ensure that the plight of middle-income economies was not forgotten as the world looks for ways to alleviate financial pressures on developing countries.

Canada’s Office of the Superintendent of Financial Institutions has removed the temporary increase of the covered bond issuance limit mirroring the Bank of Canada’s earlier decision to remove covered bonds as an eligible asset for repo funding.

Chinese online travel giant Trip.com Group is set to launch bookbuilding for its Hong Kong secondary offering this week, after getting the go ahead from the city’s bourse.

Mexico on Tuesday became the second Latin America sovereign to use the 20 year US Treasury bond as a benchmark for a new issue, initially raising $2.5bn of 2041 notes to finance a tender offer. Later in the evening, the sovereign said it would likely increase the size of the 2041s to $3.26bn, with holders of old bonds set to switch into the new notes.

Latin American oil and gas company GeoPark may return to bond markets in the near future as it looks to finance a tender offer for up to $255m of its $425m of 6.5% senior unsecured 2024s.

Three SSA borrowers were set to come to market for five year paper on Wednesday, with two targeting fixed rate benchmarks and the other a five year floater linked to the secured overnight financing rate.

Automotores Gildemeister, the distributor of Hyundai cars in Chile and other South American countries, is set to file for bankruptcy with the support of its bondholders after missing a coupon payment on its $510m senior secured 7.5% 2025s on April 1. The process is set to reduce the company’s debt by $200m, said the issuer

Empresas CMPC, the Chilean pulp and paper producer, priced a sustainability-linked bond inside its curve on Wednesday, leaving no doubt that Latin American issuers can still garner a material pricing benefit from ESG debt, even as emerging market bonds feel the pressure from US Treasury volatility.

Suriname said on Wednesday that it had provided its bondholders with the data and reassurances they had requested, before extending the deadline on a consent solicitation that would grant the government additional debt relief while it negotiates an IMF deal.