LatAm Bonds

Sovereigns find exceptional issuance window but market still fragile

Visibility lacking on VTR’s joint venture with América Móvil, says Moody’s

Mexican non-bank lender extends deadline for buy-back

Without ultralow rates, more EM companies will shy away from international bonds

Emerging market corporate bonds have rallied, but investors cannot find paper to buy in illiquid market

Context and market conditions are always important when considering the merits of any new issue, but this was particularly the case in 2022, given how volatile markets were. Every CEEMEA issuer had to pay a high all-in price to get their deal away, and new issue premiums varied between issuers. EM issuers faced the toughest conditions in many years during 2022. The Russian invasion pushed investors to flee from riskier assets. The war had practical effects too: disruption to energy and food supplies sent inflation soaring and the resulting interest rate rises meant borrowing costs jumped sharply for CEEMEA issuers. New issue volumes dropped from 2021, particularly among CEEMEA corporates. By George Collard and Oliver West.

Central bank measure credited with cutting spreads by increasing local demand

Debt markets have come to accept political instability in the country

GlobalCapital’s survey of 13 Latin America DCM heads points to a recovery of sorts for the region’s bond market after its worst year since 2008. Corporate issuance is the biggest unknown, but the market’s fate appears to lie in the hands of the Fed. By Oliver West.

Small size divides opinion but default looks unlikely in the short term

Leasing firm seeks to avoid fate of other Mexican non-bank lenders

The 8%-handle on Colombia’s new bond looks jarring, but the sovereign was right to not delay any longer