LatAm Bonds

Kallpa Generación, the Peruvian power generation company, will begin investor meetings today ahead of a potential debut dollar bond in what would be the first non-sovereign Peruvian new issue of 2016.

Banco Hipotecario, the mortgage lender 58.4% owned by the Argentine government, is looking to raise between $100m-$200m via a tap of its 9.75% 2020 notes sold last November.

EIG Global Energy Partners is unlikely to succeed in its second bid to acquire Colombian-Canadian oil firm Pacific Exploration & Production, according to bondholders that have already signed up to a restructuring with private equity firm Catalyst Capital.

Banco de Bogotá’s new subordinated bonds closed higher in the grey market on Monday after the Colombian bank offered a hefty new issue premium that left investors who liked the issuer chuffed at the fact the deal had come on a tough day.

Gol Linhas Aéreas Inteligentes, the Brazilian low cost airline, insisted on Friday that its proposal to bondholders is “good and fair”, despite a committee owning 25% of its senior bonds claiming that the company had rejected “repeated requests” to engage in discussions with bondholders.

Brazilian bonds reacted only slightly on Friday after Fitch downgraded the sovereign another notch, to BB, and kept the government’s rating on negative outlook.

Panama City airport operator Aeropuerto Internacional de Tocumen and AES’s Dominican Republic subsidiary sold well-received dollar bonds on Wednesday as corporate issuance in Latin America continues to pick up. Banco de Bogotá is likely to be the next private sector issuer to tap the market.

The Argentine province of Neuquén raised $235m of bonds this week, pricing at a yield more than 150bp less than where it had talked about a similar deal last September. The province's deal is the first Argentine bond since the sovereign’s blowout return to bond markets last month.

Brazilian low-cost airline Gol received a triple downgrade this week after announcing a bond exchange that rating agencies qualified as distressed in what has become a familiar story for Latin American corporate credits.

The claims of Corporación Andina de Fomento (CAF) to full SSA status appear to be gaining weight after the Latin American development bank issued a three year dollar benchmark on Wednesday.

Dutch bank ING is to expand its presence in Colombia as it looks to take advantage of the South American country’s vast infrastructure needs.

Mendoza has joined Neuquén in the rush to become the first Argentine region to follow the sovereign’s recent $16.5bn bond market comeback and has mandated banks for a dollar bond.