Femsa Domestic Jumbo On Ice

A domestic bond issue of up to MXP6bn from Femsa is expected to take place in the final week of the month, according to bankers managing the transaction. The issuer, originally considering to tap this week following a June roadshow, is now heard waiting until after Q2 numbers are released July 28. BBVA and Santander are managing the sale, rated AAA on a national scale. Precise terms will be set on the day of the sale, with the beverage company able to pick from a floating tranche, fixed-rate pesos and a fixed-rate piece denominated in UDIs, each up to 7 years. This week, two 2011 floating rate transactions are expected to price tomorrow in Mexico’s domestic market. Cemex is expected to price its MXP2.2bn accounts receivable securitization through Ixe, and Grupo Elektra is set to sell up to MXP1.0bn in bonds via Inbursa.