Latin America

State-owned lender Banco del Estado de Chile (Banco Estado) kicked off what could be a busy January for Chilean issuance with a $750m five year senior unsecured deal on Monday.

Chile’s head of international finance has told GlobalCapital that the debt management office is making communication with investors its number one priority as it announced borrowing plans — including an atypically large amount of international issuance — earlier than usual after a turbulent fourth quarter.

Banco Pichincha has become Ecuador’s first green bond issuer, after selling $150m of notes that were bought by three international development lenders.

Brazilian meatpacker Marfrig said last week that it would redeem $446m of bonds issued three years ago, to improve its debt profile.

Suriname’s outstanding 2026s traded up this week, after the government clinched $125m of short-term financing that includes coupon payment support for existing bonds and lays the ground for fiscal savings via an electricity reform.

Latin American bond bankers are reporting busy January pipelines as issuers look to take advantage of low rates before the US election season hits next year.

Big European investment banks pivoted towards the Americas during 2019 in an attempt to boost revenues and position themselves for the next downturn, writes David Rothnie. With large M&A across the industry still off the table, banks are finding scale through joint ventures and alliances.

A group of institutional investors owning Argentine government bonds said on Tuesday that they have hired Mens Sana — which is also advising creditors of the Province of Buenos Aires — and UBS as financial advisors ahead of a likely sovereign restructuring.

Despite its only previous outstanding bond trading at distressed levels and its president being sentenced to 20 years in jail for murder during the sale process, Suriname has managed to issue $125m of new amortising bonds that analysts say should be crucial for a proposed electricity reform.

Standard & Poor’s on Monday became the third rating agency to react to political uncertainty in Bolivia, by putting its BB- rating on negative outlook. Yet its bond prices have begun to recover.

A group of institutional investors who own bonds issued by Argentina’s largest regional government, the Province of Buenos Aires, has hired advisors as analysts say a January amortisation from the issuer could be indicative of the new administration’s attitude to debt obligations.

After the Federal Reserve’s hawkish attitude in 2018, a more dovish mood at the US central bank meant that 2019 was smooth sailing for many emerging market borrowers. However, political storms meant the turbulent asset class still threw up its share of rocks for borrowers to navigate. The GlobalCapital editorial team selected the best deals of the year, considering not just the eventual result of the trade, but the backdrop against which the deals were sold. The winners are presented here. Congratulations to those involved.