Bimbo finds crossover demand to price tight

Bimbo Bear
By Oliver West
26 Jun 2014

Investors said that Grupo Bimbo had priced its $1.3bn dual-tranche bond “to perfection” after the Mexico-based global bakery firm sold 10 and 30 year debt well inside its existing curve on Tuesday and then saw its bonds remain stable in the secondary market.

One buyer said he participated in the deal “holding his nose”, so tight was final pricing, but that the borrower would be very happy with the deal.

Total demand of $8.5bn would normally suggest that the deal would fly in secondary markets, said the investor, but on Thursday ...

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