LatAm Bonds

Brazil completed a tender offer for seven different dollar bonds on Tuesday, buying back for cash small amounts of bonds maturing between 2027 and 2041 but mostly guiding bondholders into its new long 30 year issued on Monday.

Latin American bond market participants away from Costa Rica’s proposed $1.5bn cross-border issue said they thought the deal would find strong demand as the Central American nation announced a roadshow amid friendly market conditions on Tuesday.

Strong technicals continue to drive international bond markets in Latin America as Brazil on Monday became the latest sovereign to take advantage of low rates and push out debt maturities with a 'blowout' dual tranche deal.

Empresa de Telecomunicaciones de Bogotá (ETB), the Colombian telecoms company majority owned by the City of Bogotá, is looking to buy back up to Ps400tr ($120m) of its global local currency bonds.

The only two corporate issuers from Latin America this week sailed through primary markets as bankers said low rates and technical factors would continue to override socio-political volatility and sluggish economies in the region.

After bankers said Braskem’s blow-out bond issue this week was a vote of confidence for Brazil’s economic turnaround, a small single-B rated bank and an infrastructure company that underwent a restructuring just a year ago a set out to provide a tougher test of demand.

Mexican retailer Grupo Famsa is looking to gain some breathing room with an exchange to push out a looming bond maturity. Yet though Standard & Poor’s and Fitch both consider this a “distressed” deal, only Fitch is planning to cut the borrower’s rating to default.

A year on from the botched appointment of Andrea Orcel as CEO, Santander is pressing ahead with the next phase of its investment banking strategy, writes David Rothnie.

Central American development bank Cabei sold its first green bond in the public markets on Thursday, increasing the size of its five year floating rate note from $300m to $375m after attracting nearly $1bn of orders.

Chilean power company Empresa Eléctrica Cochrane sold $430m of 7.5 year amortising notes on Wednesday as part of a bond and loan refinancing of project finance debt.

Emerging market issuers continued to enjoy solid market conditions this week with new mandates joining the pipeline and Abu Dhabi’s Mamoura executing a $3.5bn triple tranche trade.

Brazilian petrochemicals firm Braskem clinched a $2.25bn dual tranche bond issue on Tuesday with bankers close to the deal claiming a negative new issue concession after US corporate buyers helped build a strong book.