LatAm Bonds

Banco de Chile tapped the Swiss franc market for the second time this month on Thursday afternoon, issuing a four year bond. The issuer returned quickly to Swiss francs in response to reverse enquiries from investors that missed out on the three year floater Banco de Chile sold at the start of June.

Dealogic league tables of bond transactions, June 26, 2013. Includes SSAs, FIG, investment grade and high-yield corporates, emerging markets and ABS.

DCM bankers covering Latin America believe there will be some light bond issuance in July. This will come as a relief as June is set to end without any dollar new issue action.

Banco de Chile is set to tap the Swiss franc market for the second time this month on Thursday afternoon, looking to sell four year notes.

The sell-off in emerging market debt that has impeded dollar bond issuance from Latin America throughout June could not prevent the region recording its best start to a year in cross-border issuance volumes.

Moody’s has placed Dominican bank Banreservas, which tapped international bond markets for the first time in January, on negative outlook after the state-owned entity made a Rd$3.178bn ($77m) dividend payment to the government.

Senior SSA bankers predicted a concentration of power into the hands of a few bulge bracket firms following the demise of UBS’s SSA franchise in late 2012. But, as Ralph Sinclair discovers, the broader picture is far more complicated as a swathe of banks have rushed in to serve SSA issuers.

Bond mandates are always intensely contested, and with capital issuance on the up, everyone wants a piece of the deal pie. But the dynamics of how those mandates are shared around the market has changed with the passing of bank capital’s heyday. Will Caiger-Smith reports.

BRF Brasil Foods wrapped up a $150m liability management exercise after an extension to the early bird deadline on its exchange uncovered the extra $40m of demand it needed to swap its maximum target amount.

Mexican president Enrique Peña Nieto’s reform of the telecoms market appears to be coming too late to save bondholders of Maxcom from taking a write-down on their debt.

Mexican retailer Grupo Famsa will buy back some $160.5m of its 2015 senior bonds after 80.23% of bondholders offered to tender the notes.

DCM bankers covering LatAm have not given up hope of new issue activity returning to the region before the summer break, despite further sell-offs after Ben Bernanke’s speech on Wednesday leading to a third straight week without new bond sales.