The Dominican Republic is on a path to recovery as FDI flows increase and more investors buy its debt in the local and international bond markets. Will politics ruin the party?
Category: Bonds
Posted inMagazine
Uncertain Times
Investment bankers focused on Latin America may have had a profitable year so far, but the last quarter looks less than promising against an increasingly rocky backdrop. Optimism in the […]
Posted inMagazine
Upside Potential
Venezuela’s presidential elections are still more than a year away. But the possibility of regime change is already moving spreads. Are investors blind to the underlying risks?
Posted inMagazine
Clearing the Way
The easing of cross-border clearing and settlement in LatAm has gone hand in hand with regional integration. Is a centralized system the next step?
Posted inMagazine
Watching Windows
Summer doldrums and a steep spike in volatility have pushed volumes lower in recent months. The door essentially slammed shut for junk credits in August, and left high-grade borrowers to […]
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Coping with Competition
Investment banks have seen a strong first half but face an uncertain year ahead as volatility and increased ompetition threatens to slow down the pace of business.
Posted inMagazine
Crossing the Line
BNDES has made a habit of supporting consolidation to create national champions. But was its attempt to wade into the fight between Carrefour and Casino a miscalculation?
Posted inMagazine
Integrating Platforms
Technological integration through customer relationship management (CRM) platforms is becoming increasingly important as banks broaden their presence across LatAm.
Posted inDaily Brief
AMX Lands Second CHF
After much speculation about a possible dollar trade, Mexican telecom giant America Movil (AMX) quietly emerged Tuesday with CHF270m ($330m) 2016 bond that came with a reoffer price of 99.775 to yield 2.039%, or mid-swaps plus 86bp. The deal marked the first non-Swiss issuer to tap this market in several months. Though the borrower came at a wider mid-swap spread than its previous foray in the Swiss market, it achieved a tighter yield and coupon. AMX last raised Swiss francs in 2010 when it issued a CHF230m 2.25% 2015 that was priced with a 2.24% yield or at mid-swaps plus 65bp. Retail, institutional and private accounts were all heard participating. The company last came to the bond market in June 2010 with a EUR/GDP bond transaction, raising EUR1.75bn and GBP650m via Deutsche Bank, HSBC, and BNP Paribas. The company is heard looking at a USD bond transaction and nearing the process of selecting banks. AMX is rated A2/A/A. Credit Suisse led the CHF transaction.
Posted inDaily Brief
Banco do Brasil Sends out RFPs
Banco do Brasil has sent out RFPs to raise funds in the international bond markets, according to market participants. It remains unclear whether the Brazilian lender will try its luck with USD or perhaps a global BRL, but it is heard considering raising up to $500m as part of a global medium term program. Banco do Brasil last issued $1.5bn in Tier 2 2022 bonds in May via BAML, Banco do Brasil, BNP, JPMorgan and Banco Votorantim. The bonds were rated Baa2 and priced with a 5.875% coupon to yield 6.044% or 287.5bp over. The bank also issued EUR 750m in 2016 bonds in January to yield 4.625%. Those bonds were rated BBB/BBB minus/Baa2 and were brought to market by Banco do Brasil, BNP Paribas, Banco Votorantim and Deutsche Bank.