LatAm Bonds

Jamaica announced initial price thoughts of 7% for a reopening of its 8% 2039 bonds on Wednesday as it looks to raise funds to finance a tender offer for its 2017s and 2019s.

The province of Chaco, one of the poorest in Argentina, sold $250m of bonds with an average life of seven years on Wednesday and then saw them edge upwards on the break despite scepticism from market participants about the borrower’s credit quality.

CEEMEA primary markets have finally become a victim of the summer heat but there’s no snoozing on the beach for syndicate bankers. Planning for the second half of the year has already started in earnest.

Caribbean island nation Jamaica is planning to issue a new long dated bond to buy back short term debt on Thursday as it looks to take advantage of highly liquid new issue markets and the strong performance of its existing bonds.

The province of Chaco is set to provide a test of demand for Argentine credit with a dollar issue on Wednesday, as bankers and investors acknowledged that favourable market conditions gave the province a good chance of a successful deal despite challenging fundamentals.

Latin America’s most frequent sovereign borrower scored two record yields on Monday as technical factors continue to govern investors' behaviour.

Mexican government owned lender Bancomext’s latest bond traded up on the break on Friday as Latin American new issue markets continue to benefit from huge inflows into EM bond funds.

A welcome trio of non-Argentine corporate issuers provided variety to the Latin American new issue market this week, with all three achieving the rare distinction of being praised by DCM bankers both for their timing and for not pushing investors too hard on pricing.

The Central American Bank for Economic Integration could return to benchmark issuance in 2017, after this week selling $72m-equivalent of green paper to Japanese retail investors in its first ever SRI transaction.

EM bond investors said they expected a strong local bid to push new bonds from Chilean government-owned oil company Empresa Nacional de Petróleo (Enap) tighter after the company raised $700m of 10 year senior unsecured bonds on Tuesday.

Lat Am bond bankers said Brazilian mining giant Vale had timed its second bond issue of the year to perfection, but the bond left investors happy too as it popped in the grey market on Wednesday.

CEEMEA is focused on one issuer this week, Ghana, as Latin America borrowers ignore the summer break.