LatAm Bonds

CEEMEA sovereigns and agencies are putting plans in place for dollar Eurobonds, but a wide range of smaller financial institutions also hope to follow if September proves supportive. One syndicate official said his bank has been awarded four fresh mandates in the last fortnight.

The funding and bank capital markets have roared back into action this week, with senior unsecured and covered bond supply dominated by Nordic and French names, while Société Générale announced the second ever CRD IV-compliant additional tier one trade.

The Inter-American Development Bank blazed a trail for SSA borrowers in dollar benchmark markets on Tuesday with the first deal in week. Bankers now expect a torrent of issuance heading into September.

The corporate bond market is showing the first signs of an end to the summer break after Madrileña Red de Gas, a leading independent gas distributor in Spain, has mandated banks to organise investor meetings for a debut bond issue.

Standard & Poor’s has upgraded Peru’s foreign currency rating by one notch to BBB+, saying the country’s continued high rate of growth underpins healthy debt dynamics.

Mexican cement company Cemex will buy back its full target of $925m of its $1.75bn 9.5% 2016 bonds after investors holding $1.329bn of the bonds accepted its tender offer.

Dealogic league tables of bond transactions, August 14, 2013. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.

Venezuela’s finance ministry is puzzling investors by refusing to communicate over a $74m payment missed on July 20 by Sidetur, a steel company that was expropriated by the government last year, writes Olly West.

Colombia’s finance ministry has approved international bond issuance of up to $3bn for the country’s largest oil company, Ecopetrol.

Bolivia showed this week that some LatAm borrowers are still willing to battle through volatility and issue new paper in order to pounce on what are still historically low rates. The sovereign printed $500m of 10 year bonds on Thursday, despite tough conditions.

Dealogic league tables of total revenue transactions, August 15, 2013. Including Investment Banking, Debt Capital Markets, Equity Capital Markets, Mergers & Acquisitions and Syndicated Loan revenues.

Dealogic league tables of bond transactions, August 14, 2013. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.