Latin America

Brazilian government-owned oil company Petrobras will repurchase nearly half of its 2023s after wrapping up the first stage of a tender offer that could total $4.5bn.

After several weeks of speculation among DCM bankers as to why it had not issued, Brazil’s government finally announced a new 10 year trade on Thursday to keep up the momentum in the Latin American new issue markets.

Brazilian airline Gol Linhas Aéreas Inteligentes is set to price a rare exchangeable bond on Thursday, two business days ahead of schedule, after demand arrived faster than expected, GlobalCapital understands.

Some investors are beginning to fear that the rally in emerging markets is running out of rope. Threats to Chinese growth could carry over and damage the prospects of emerging markets economies, according to Jupiter Asset Management.

Brazilian government-owned oil company Petrobras will repurchase nearly half of its 2023s after wrapping up the first stage of a tender offer that could total $4.5bn.

Lat Am bond bankers and investors may not have found an answer to Monday’s hot topic of the subordination premium on AES Gener’s junior subordinated hybrid, but the issuer left no doubts about the market’s appetite for paper with a highly oversubscribed trade.

Government-owned Costa Rican lender Banco Nacional de Costa Rica (BNCR) will wrap up a tender offer for its dollar bonds ahead of schedule after the early-bird stage of the buy-back was oversubscribed.

More Latin American issuers could look for 30 year debt in international markets, said DCM bankers after Petrobras sold its first new note at that point of the curve since 2014.

Banco do Brasil returned to dollar markets on Wednesday, taking advantage of scarcity value to snatch a tight five year senior unsecured benchmark.

Cement company Cemex brought hope for the Mexican bond pipeline as it turned to Europe to become the first Mexican credit to issue internationally since January, while the sovereign also crossed the Atlantic for investor meetings this week.

Bond investors embraced pan-emerging markets telecoms company Millicom International Cellular’s debt-funded acquisitions in Central America as they piled into the company’s latest bond and continued to demand the paper in the grey market.

Banco do Brasil became the second state-owned Brazilian issuer to tap dollar markets in two days as it snatched a tight five year senior unsecured benchmark.