Category: Economy & Policy

Colombian state-owned development finance agency Findeter has sold COP220.3bn ($109m) in credit deposit notes. It placed COP63.8bn in 2011s at a fixed 6.50%, COP75.0bn in 2012s at DTF plus 1.63%, and COP81.5bn of 2014s at IPC plus 4.38%. Total demand for the AAA rated issue reached COP606.6bn, according to brokers managing the sale. Findeter structured and managed the operation itself. Elsewhere in Colombia’s domestic DCM, Grupo Nacional de Chocolates is set to offer COP500bn today through Bancolombia.

Mexican microfinance institution Banco Compartamos has reopened its 2012 bonds for MXP1bn, in a deal driven by reverse inquiry following an initial sale in July. The notes pay TIIE plus 200bp and were offered at par. It was 1.2x subscribed, says a banker on the deal. Proceeds from the sale, rated AA minus on a national scale, will provide general lending capital. Banamex managed the sale. In July, Compartamos sold MXP500m through Credit Suisse.

Mexico’s Banco Compartamos has sold MXP500m in 2012 bonds on the domestic market at TIIE plus 200bp. Proceeds will support the microfinance bank’s general capital needs. Credit Suisse managed the sale, rated AA minus on a national scale. MxA rated financial group Grupo Elektra placed MXP1bn in a 2011 last week at TIIE+390bp.

Colombian mortgage lender Banco Davivienda has sold COP450bn in domestic bonds. The bank sold COP72bn billion in 2011 bonds at the DTF rate plus 138bp, COP73bn in 2012s at a 7.89% fixed-rate, COP215bn in 2014s at IPC inflation plus 479bp, and COP90bn in 2010s at IBR plus 144bp. Total demand for the sale, rated AAA on a national scale, reached COP1trn, Davivienda says. Proceeds from the AAA issue will go to working capital and other general purposes. The bond was the second and final piece from a COP1trn program, following a COP550bn sale in January.

Mexican financial group Grupo Elektra has sold MXP2bn in domestic floating-rate short-term bonds. A MXP1bn 2010 tranche priced at TIIE plus 370bp, while a MXP1bn 2011 piece came at TIIE plus 190bp. The book reached 1.4x to the offer, according to a banker on it. Inbursa is managed the sale, rated A on a national scale. Elektra is controlled by billionaire Ricardo Salinas and acts as a holdco for subsidiaries including Banco Azteca, Seguros Azteca y Afore Azteca.

Cemex has placed MXP2.2bn in 2011 domestic bonds backed by accounts receivables. The ABS notes priced at the TIIE rate plus 250bp. Demand for the AAA paper reached 1.3x, according to a banker on the deal. Ixe sole-managed the sale, the first such transaction Cemex has done in the peso public markets.

Bancolombia has sold COP500bn in bonds on the Colombia domestic market. It placed COP53.3bn in 2012 notes at a fixed 7.89%, COP120.7bn in 2011s paying DTF plus 1.40%, COP53.3bn in 2014 bonds paying DTF plus 2.40%, COP51.7bn in 2014s paying the IPC inflation index plus 4.80%, COP43.8bn in 2019 bonds paying IPC plus 5.74%, and COP177.2bn in 18-month bonds at IBR plus a spread of 1.49%. The bank had originally offered COP350bn, but raised the amount because of a demand of COP1.17trn. The sale, rated AAA on a national scale, is the third and final from a COP1.5trn program, though the bank is expected to register another of similar size. Bancolombia’s own brokerage unit managed the sale.

BNP Paribas Personal Finance has placed MXP1bn in domestic floating-rate notes, its first-ever long-term debt sale. The 2011 bond, guaranteed by the French parent, priced at TIIE plus 160bp. The transaction was 3-4 times subscribed, according to a banker on it. BNP plans to use proceeds for its operating needs, including lending. Scotia, Santander and HSBC managed the sale.

Mexican sub-sovereign CFE has issued MXP1.1bn worth of 2012 floating-rate bonds. They were priced at TIIE plus 75bp, slightly below what bankers running the deal initially expected. A much larger MXP6.5bn offering of 2012s from Pemex done on May 20 fetched a price of TIIE plus 90bp, notes a banker running the CFE deal. The book for CFE was filled quickly, he adds, indicating a strong bid for the national power operator. The notes are the first offering under a special MXP3bn program that the state-owned utility has jointly filed with Bancomext. The two agencies have set up a fideicomiso that will be used to pre-fund certain expenses for certain kinds of infrastructure projects known as productive infrastructure with deferred expenditure impact. Ixe managed the sale, rated AAA on a national scale. CFE sold MXP3.8bn in 2019 bonds in April via BBVA.

Mexican bottler Embotelladoras Arca has sold MXP1.5bn in domestic bonds, including MXP1bn in 2012 notes at TIIE plus 100bp, and MXP500m in 2016s at a fixed 9.75%, or Mbonos plus 190bp. Demand reached MXP4.2bn for the 2012s and MXP1.8bn for the 2016s, according to a banker managing the sale, pointing to improving local market conditions and strong appetite for defensive credit. Last month, quasi-sovereign Pemex paid TIIE plus 90bp for 2012 floaters and Mbonos plus 156bp on a fixed 2016 tranche. Arca, like Pemex is rated AAA on a national scale. Arca plans to use proceeds to pay back bilateral loans due this year to BBVA, Bank of America and HSBC, which also managed the bond transaction. Arca last issued in February, paying TIIE plus 155bp for MXP1.4bn in 13-month bonds, in one of the first transactions of 2009. This year’s Mexican market is still far from active, but other blue-chips are on the way. Bimbo is set to bring a 5 and 7-year bond June 10, expected to be at least MXP3bn in size, and Femsa is due with a sizeable transaction in late June or July.