Peru

Bond investors shrugged off state-owned oil company Petroperu’s low credit quality to pile into its debut deal in remarkable fashion as the issuer sold 15 and 30 year bonds at a tighter spread to the sovereign than its Mexican counterpart Pemex.

Peruvian state-owned oil company Petroperu will issue bonds maturing in between 15 and 30 years, said Standard & Poor’s, as the company meets investors.

Latin American bankers see a calmer period ahead for corporate new issues and some companies are already plotting deals for later in the quarter.

Peru’s ministry of economy and finance has authorised state-owned oil company Petroperu to proceed with a long awaited debut bond issue.

Bond investors revelled in the extra eighth of a point in yield they earned on Friday after the threat of a workers’ strike at one of Votorantim Metais’ smelters led the company to delay pricing its debut bond and hike pricing.

Energy company Orazul Energy Egenor, the Peruvian arm of Orazul Energía, took advantage of a cash-rich Lat Am bond market and scarcity of Peruvian issuance to sell $550m of 10 year bonds on Tuesday.

Latin American renewable energy company Orazul Energía is looking to raise up to $550m of funding for its Peruvian operations in what would be its first international bond sale.

Peruvian mortgage lender Fondo Mivivienda sold Nuevo sol-denominated bonds to international investors on Tuesday in a rare local currency trade from Latin America, as the issuer looks to turn much of its debt to soles in the future.

Peruvian mortgage lender Fondo Mivivienda on Tuesday found a high level of appetite for local currency paper with a $600m-equivalent dual tranche deal of which three quarters was in Nuevo soles.

Peruvian government owned mortgage lender Fondo Mivivienda is planning to issue both dollar and nuevo sol-denominated bonds on Tuesday in its first international bond sale for nearly three years.

Singapore-based credit research provider Lucror Analytics has hired two experienced rating agency officials as it looks to launch a Latin America service in May.

South American development bank Corporación Andina de Fomento (CAF) has elected Luis Carranza Ugarte, the former Peruvian finance minister, as executive president.