LatAm Bonds

Latin American bond issuers could have missed out on an issuance window because they did not expect the market to recover as quickly as it has done in July, say some DCM bankers.

Mexican telecoms firm Maxcom has filed for a prepackaged Chapter 11 bankruptcy that would see it reduce its interest rate burden and hand control of the company to private equity firm Ventura Capital Privado.

Year to Date Latin America DCM Bookrunner Ranking

Credit Suisse's second quarter results were driven by a strong performance in its investment banking division, particularly in equities.

Mexico is expected to sell its first Samurai bond in just over a year on Tuesday, with leads offering guidance on three and five year bonds. While a proposed seven year bond has been rejected because of insufficient investor interest, leads say that six and 10 year bonds remain a possibility to supplement the main two tranches.

Chilean electricity transmission company Transelec attracted $900m of demand on Tuesday for a $300m 10 year bond that bankers said should encourage more LatAm issuers into the market.

The Government of Bermuda will begin a roadshow on Wednesday ahead of a potential 144A/Reg-S bond issue. The issuer is hoping to sell a credit story that has recently been tainted by two downgrades and three negative outlooks.

Fitch has downgraded Petrobras’s Argentina arm, Petrobras Argentina (PESA), two notches to B+, affecting $200m of senior unsecured bonds due October 30 this year.

Banco do Brasil allayed fears that Brazilian issuers would be left stranded even as LatAm bond markets recovered when it sold €700m of five year notes on Thursday.

Chilean power transmission company Transelec is plotting a return to the bond markets after an absence of more than 12 years, as bankers say market conditions are constructive for Latin borrowers.

In a favourable market, Mexican telecoms company América Móvil had to reduce the size of a planned bond issue on Monday after receiving only £400m of demand for a £500m sterling tranche. The euro tranche was priced at the target size of €750m.

Corporación Andina de Fomento (CAF) sold its second Swiss franc bond of the year on Tuesday, hitting its size cap to sell a Sfr250m seven year issue.