Itau Lands Bond Within Expectations

Itau Chile has issued UF1m ($44m) in local bonds, at 85bp over the BCU-5 benchmark. The price is inline with expectations held by bankers off the deal, who had been forecasting a spread of 80bp-85bp. The AA minus 3.00% coupon bonds priced to yield 3.54%. The issue was 1x oversubscribed, according to a banker on the deal, who says the book consisted of local pension and mutual funds. Proceeds will be used to extend credit to clients. Itau Chile managed the sale itself.