Category: Loans

Mexico’s Axtel is raising $205 million in the bank market to fund its acquisition of Avantel. The deal through Citigroup is priced at 187.5bp over Libor, on a leverage grid. It is a five-year with 36-months’ grace, said bankers considering participating. Comerica, HSBC, Scotia and Standard Bank have signed on as MLAs and the commitment deadline is February 8.

Venezuelan oil producer PDVSA is heard in the market with a $1 billion one-year revolver through BNP Paribas, which has an option to renew. The margin is said to be 115bp over Libor, not enough for some bankers looking at it, given the political situation. The deal was launched in December, before the nationalization plan announced by Chavez, and apparently met resistance. ABN Amro, Calyon and Citigroup signed up, according to bankers not on the deal. The rare Venezuelan state-owned credit is cash rich and has a history of meeting its debt payments.

Endesa Chile, the local unit of the Spanish utility, has secured a three-year revolving credit for $200 million from a group of four banks. Endesa will pay interest of Libor plus 0.25%. The banks to syndicate the loan in January are ABN AMRO, Banco Santander, BNP Paribas and Instituto de Crédito Oficial (ICO). The loan offers Endesa “greater financial flexibility and liquidity”, according to the company’s website.

Colombia has issued $400 million 10-year debt at 180bp over three-month Libor. The issue will mature on 16 November 2015. The issue was rated Ba2 by Moody’s Investors Service and BB by Standard & Poor’s and was being arranged by JP Morgan.