LatAm Bonds

Debut issuers from Latin America continue to rush to the bond market to take advantage of low rates, with El Salvador-based retailer Regal Forest Holding – better known under its operating name of Unicomer – set to visit investors this week.

A 15% fall in Citi’s fixed income revenues took part of the blame for a fall in overall revenues at the banking group during the final quarter of 2013, although it was still able to post a large increase in pre-tax profits.

VTR, Liberty Global’s Chilean cable and broadband internet provider, is set to sell its first high yield bonds on Friday.

Gazprombank and Banco Santander Chile re-opened the Swiss franc market for emerging market issuers on Thursday. Gazprombank sold the first new style tier two bond from an EM country in Swiss francs, with a strong investor response opening the way for other EM issuers to consider subordinated trades in the currency.

Investors representing 86% of Brazilian oil and gas services firm Lupatech’s bondholders have approved the company’s proposed debt restructuring, allowing the plan to be submitted for approval at an extraordinary general meeting and submitted to be agreed in court.

Caribbean issuer the Bahamas was rewarded for delaying its issuance plans last year with a hugely oversubscribed book on Monday as it printed a $300m 10 year bond.

Peruvian miner Hochschild became the first debut borrower of 2014 in Latin American bond markets with a $350m seven year issue on Wednesday. But despite a strong book of nearly $1.5bn, the pace of new issuers from Peru will slow this year, bankers say.

Development bank BNDES became the second state-owned Brazilian borrower to issue in euros in 2014 with a €650m transaction sold at a new issue premium as low as 5bp.

Latin America’s regular bond issuers returned to the market this week as investors showed their confidence in the asset class with bumper books and tight new issue concessions.

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

Gazprombank is set to sell the first tier two bond in Swiss francs from a Russian issuer on Thursday afternoon, while Santander's Chilean subsidiary is in the market with a senior unsecured trade.