SLB format drives massive book as Klabin prices tight

By Oliver West
07 Jan 2021

Latin American DCM bankers hailed Brazilian paper company Klabin’s first sustainability-linked bond (SLB) as an encouraging sign for the ESG debt market in the region, as a huge order book allowed the issuer to tighten by 55bp from initial price thoughts and land well inside its curve.

“This deal had a fantastic outcome and is extremely good news for the ESG market,” said one head of Lat Am DCM not involved in the deal. “When you look at the new issue concession you could argue that the ‘greenium’ [the improvement in pricing an issuer achieves ...

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