LatAm Bonds

Chilean utility company AES Gener has released price guidance of 9% area for its corporate hybrid deal. The $450m 60 year non call 5.5 year step up note is being arranged by BBVA, Citi and Goldman Sachs.

LatAm DCM bankers insisted it was not too late for a final surge in new issue supply in 2013 as Mexican petrochemicals company Grupo Idesa eyes a new bond this week.

The LatAm bond market could be in for an unusually busy week of new issuance for December as bankers said that Friday’s US unemployment data was not positive enough to shut the market for the year, which some DCM officers had feared.

The speedy success of Chilean financial Banco de Crédito e Inversiones’s (BCI) second ever Swiss franc deal on Tuesday bodes well for issuance from the country next year, according to Zurich based syndicate bankers.

Trinidad & Tobago and the Commonwealth of the Bahamas could awaken December’s dormant new issue market in LatAm as both hit the road this week to meet bond investors.

Venezuelan government-backed debt maturing in less than 12 months is available at a yield of more than 17% as investors continue to flee bonds in the country in fear of the economic turmoil and political unpredictability.

Positive economic data from the US is threatening to prevent a surprisingly fat pipeline of LatAm borrowers from printing bonds in December, say bankers.

Dealogic league tables of bond transactions, December 4, 2013. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.

Dealogic league tables of loans transactions, December 5, 2013.

Dealogic league tables of bond transactions, December 4, 2013. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.

The promise of supply continues to give hope to those LatAm bankers that thought Thanksgiving could signal the end of 2013’s new issue activity, with Caribbean islands Trinidad & Tobago the latest to announce a roadshow.

Year to Date Latin America DCM Bookrunner Ranking