LatAm Bonds

Argentinian natural gas provider Transportadora de Gas del Sur (TGS) improved its debt maturity profile after two thirds of bond holders agreed to swap at par the $374m of existing 2017 notes for new bonds due 2020 before the early bird deadline, it said on Monday.

Latin America’s bulging pipeline of new borrowers took a blow on Friday with the postponement of retailer Unicomer’s planned 144A/Reg S bond as a result of poor market conditions.

Mexico’s largest real estate investment trust Fibra Uno sold $1bn of 11 and 30 year bonds on Thursday after attracting $3.35bn of demand, becoming the first Latin American borrower from the sector to issue a global bond.

Colombia made what is likely to be its one and only international bond market outing of the year on Tuesday, making the most of a flatter curve than usual to print $2bn of 30 year paper at a 10bp new issue premium.

A speech outlining plans for a “stealth” devaluation of Venezuela’s currency was seen as too little, too late for investors as bond prices continue to tumble.

Fibra Uno was due to print Latin America’s first real estate investment trust cross-border bond late on Thursday, possibly opening up the REIT sector for more issuers from the region.

Dealogic league tables of bond transactions, last 12 months rolling. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.

Dealogic league tables of bond transactions, last 12 months rolling. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.

Bond buyers are showing everless confidence in the Venezuela’s long-term ability to repay its debt as the country’s economic policy continues to disappoint investors.

Tuesday’s $2bn 30 year from Colombia is likely to be its only outing in global bond markets in 2014, the country’s debt management head told EuroWeek.

Latin America’s frequent issuers continue to prefer the long end of the curve with Colombia becoming the third borrower of the year from the region to issue a multi-billion dollar 30 year bond.

LatAm bond market participants will return on Tuesday after an extra long weekend to find several potential issuers looking at the market. Chilean capital, Santiago’s metro system and the largest real estate trust in Mexico are the latest to line up.