Central America

Mexican infrastructure and construction giant Empresas ICA is heading for default after the company said it had decided not to pay a $31m interest payment due November 30 before the expiration of the grace period on December 29.

Bond bankers say that Mexican government-owned oil company Pemex will have to overcome fears that European investors have over emerging market and oil related names as it looks at issuing its second sterling bond.

Mexican real estate investment trust Fibra Uno was forced to issue less than it was hoping for this week, in a deal that exemplified the new reality to which Latin American issuers — even the well-liked, solid credits — must become accustomed.

Mexican government-owned oil company Pemex held an investor call on Wednesday morning ahead of a planned sterling-denominated trade.

EM bond investors said that Fibra Uno’s latest dollar issue represented great value for such a strong credit as the deal tightened several basis points in the aftermarket.

Latin American bond markets had a poor first day of trading after the Thanksgiving break, giving Mexican real estate investment trust Fibra Uno a tough ride withn its second international issue.

Dr Alberto Torres García, head of economic research at Mexico's central bank, is to take over from of Alejandro Díaz de León as head of the country’s public credit as Díaz de León leaves to take run development bank, Bancomext.

Moody’s has reduced Mexican government-owned oil giant Pemex’s credit rating from A3 to Baa1 and kept the issuer on negative outlook, saying that the company’s weak credit metrics would deteriorate further in the near to medium term.

Mexican broadcaster Grupo Televisa sold $1.2bn of 10 and 30 year bonds on Thursday to reignite a Latin American bond market that some had suggested was heading for early hibernation.

Fitch upgraded Mexican auto parts supplier Tenedora Nemak from BB to BB+ on Wednesday, bringing the issuer up to the highest level of sub-investment grade with all three major rating agencies.

Goldman Sachs, HSBC and Morgan Stanley will lead Mexican television broadcaster Grupo Televisa’s next international bond, although there is no indication yet of when it will happen.

Pemex CFO, Mario Beauregard has resigned from the state-owned Mexican oil giant and will be replaced by a peer from a fellow government enterprise.