LatAm Bonds

Bancomext, the Mexican government development bank run by the country’s former public debt chief, Alejandro Díaz de León, will ready a subordinated bond issuance on Wednesday with investor meetings in five cities.

Chile’s national oil company Enap raised $700m of senior unsecured bonds on Tuesday as an attractive new issue concession tempted investors despite the company’s high leverage.

Honduras-headquartered development bank Cabei (Central American Bank for Economic Integration) has issued its first ever green bond through a South African rand-denominated note sold to Japanese retail investors.

Potential bond issuers from Argentina continue to work on new deals despite fears from bankers and investors that the buy-side is beginning to tire of issuance from the country.

Trinidad and Tobago raised $1bn of 10 year bonds on Thursday in its first bond sale in more than two and a half years. Bankers said the weight of cash on investor pockets continued to drive the market tighter.

South American sovereign Ecuador this week demonstrated its ability to raise new debt despite a challenging economic outlook but analysts said the government’s rate of debt issuance was unsustainable.

Chilean state-owned oil company Empresa Nacional de Petróleo (Enap) will look to tap the bond markets next week to fund a buyback of existing debt as Latin American companies continue to turn to tender offers just as often as the new issue market.

Citigroup has issued on Thursday an unusual €374m bond, exchangeable into shares of Telekom Austria, as part of a deal that enabled América Móvil to reduce its stake in the company, fulfilling an earlier promise, without suffering a big fall in the share price.

Financiera Independencia (Findep), the Mexican microfinance lender, has given bondholders an extra two weeks to earn the early bird fee on its tender offer despite receiving a strong initial response.

Lat Am bond market participants said they expected market conditions to be highly supportive of Trinidad and Tobago’s proposed return to the bond markets on Thursday as the Caribbean island continues investors meetings.

Ecuador gave as good a show as possible that technicals are outweighing fundamentals in EM bond markets with a new $1bn bond due 2022 just a week after announcing the worst fall in GDP since the introduction of the US dollar as the currency.

Brazilian firm Banco Itaú’s head of Latin American debt capital markets has left the bank, according to two sources.