Scotiabank Peru Targets $400m

Scotiabank Peru is targeting a $400m size for a planned 2027 NC10 Tier 2 bond issue, according to Moody’s. The agency assigns a Baa2 rating. The Bank of Nova Scotia subsidiary is scheduled to wrap up a roadshow Thursday, with pricing expected to follow. The 15-year subordinated bonds will have a fixed coupon for 10 years and revert to a floating rate afterwards. The Baa2/BBB+ bank is being comped against Banco de Credito del Peru’s (Baa3/BBB minus) $350m Tier 2 2027 NC10 bond, quoted at UST+350bp Tuesday. Bank of America Merrill Lynch, Goldman Sachs and Scotia are managing the sale. It would be Scotia Peru’s first international offering since a $175m diversified payment rights securitization done in 2010, according to Dealogic data.