América Móvil Builds Out Peso Curve

Following the sovereign’s lead, América Móvil, the Mexican mobile heavyweight, launched 8 billion pesos ($734 million) in a 30-year 144a issue through HSBC and UBS. The spread was 80bp over the government 2036, inside guidance, and the transaction was heard well oversubscribed. In October, the Mexican government was the first in the region to sell a fixed-rate local currency 30-year, setting a benchmark for longer-dated corporate paper. América Móvil opened up the peso global market with a 5 billion peso 10-year through Credit Suisse in September 2005. It was followed by sister company Telmex in January. América Móvil is cash rich, so proceeds are likely either for refinancing or an acquisition.