LatAm Bonds

The owner of Jose Cuervo tequila, JB y Compañía, is looking to raise what would be the family-owned company’s only debt through the sale of a $500m 10 year bullet bond.

The release of its audited financial results allowed Brazilian state oil company Petrobras to avoid a further downgrade from Moody’s. But as yet the agency has given no indication of the upgrade some are expecting.

The Republic of Paraguay tapped its dollar bonds due 2023 for a further $280m on Friday, taking advantage of a positive market tone in Latin America on the back of Petrobras releasing full year results.

Investors said YPF had offered an attractive concession to sell $1.5bn of new 10 year notes on Thursday afternoon but the bigger picture shows that Argentine government credits were able to raise over $3bn for the dollar-starved nation this week.

Chilean power generation company Empresa Eléctrica Guacolda sold $500m of 10 year bonds on Thursday after significant price tightening as Latin American investment grade companies busied themselves in strong markets.

Bond bankers covering Brazil said that timing was right for the sovereign to issue and reopen the country’s debt markets after Petrobras averted the immediate threat of a covenant breach by releasing audited results for 2014 on Wednesday night, writes Oliver West.

Chilean power generation company Empresa Eléctrica Guacolda is preparing a $500m 10 year bond after completing an investor roadshow on Wednesday.

Argentine oil company YPF will price a new 10 year bond on Thursday afternoon New York time after attracting a strong book on Wednesday, according to a source close to the deal.

LatAm capital markets participants will be eagerly dialling into a Petrobras conference call at 10am New York time (3pm London) for more colour on full year results that show a R$21.587bn ($7.18bn) loss for the energy company for 2014.

Defaulting sovereign Argentina overcame legal risks and opposition from holdout creditors to increase the size of a local law dollar bond sale on Tuesday.

Investors piled into Southern Copper’s 10 and 30 year bonds on Monday in what a banker on the deal said was only the second new issue from a metals and mining credit in any markets so far this year.

Banco de los Trabajadores (Bantrab) is planning to raise $100m of subordinated debt by issuing pass-through notes secured by a loan from Deutsche Bank in a similar structure to its senior unsecured debt.