Category: Argentina

Argentina’s Banco Hipotecario has issued guidance on a $200m 3-year peso-linked note in the 11.375% area. The guidance comes at the same level as the yield on a 3-year peso-denominated note by Banco Rio, priced in April. Launch is expected tomorrow. Deutsche Bank and Citi are leading.

Argentina’s Banco Hipotecario hopes to price a $200m issue of 3-year peso-linked notes Thursday with the leads issuing guidance Tuesday. Hipotecario wrapped up a roadshow in Europe Friday and starts its East coast roadshow Monday. Deutsche and Citi are leading.

Alto Paraná, the Argentine subsidiary of Chilean forestry company Arauco, raised $270m in 10-year bonds Thursday at 135bp over US Treasuries to yield 6.47%. The deal came at the tight end of the 135bp-140bp guidance. The new notes, rated AAA locally by S&P, are guaranteed by Arauco, and come from a $350m program. JPMorgan led.

Amid one of the most turbulent secondary in several weeks, in which asset classes across the board sold off, Argentina raised ARP1.5bn ($500m) in fixed-rate 2012 bonds at 95.500 to yield 11.700%. Bids worth ARP5.3bn were placed at prices ranging from 89.340 to 98.116. The sovereign attempted to clear room for its issue last week, according to executives working on corporate deals, who were told to wait several days before coming back to the local regulator for approvals. But judging from the bids, there was no shortage of demand for the paper, though market conditions may have pushed the yield wider than what the sovereign might have hoped for, according to bankers.

Argentina’s Banco Comafi is heard to have mandated Citi for an offering of $75m-$100m in 5-year amortizing peso-linked bonds. The bank is following in the footsteps of Banco Rio, Banco Macro and other financial issuers like Tarjetas Cuyanas, all of which have priced offerings in peso-linked or pesos in the past two months.

Argentine credit card issuer Tarjetas Cuyanas, 60% owned by Banco Galicia, will look to price $65m worth of 2012 peso-linked amortizers today at around 12%, according to guidance issued Wednesday. Banco Galicia and Barclays have joint books. Tarjeta Naranja, another credit card company owned by the same parent, issued $100m in peso-linked amortizing bonds in November.

The Argentine subsidiary of Chilean forestry company Arauco, Alto Paraná, will look to price $270m in 10-year bonds today at 135bp-140bp over the 10-year US Treasury bond. The new notes, rated AAA locally by S&P, are guaranteed by Arauco, and come from a $350m bond program. JPMorgan is the lead.

The Republic of Argentina has announced plans to sell Thursday $500m in 5-year peso-denominated bonds, the first offering of its kind from the sovereign. The notes will carry a 10.50% coupon, with the yield to be determined today by investor bids. The announcement came on a down day for LatAm assets, in which bonds, currencies and equities traded off. Bankers say the transaction may be affected by the poor performance of the markets.

Argentine power distributor Edesur is looking to raise ARP200m ($65m) in 5-year amortizing bonds via JPMorgan and Santander Rio. The company was rumored to have considered a USD-offering as well, but has apparently gone the local route. The sale is part of an ARP450m program, according to a filing.

Arcor, an Argentine food company, is heard to be looking for $100m in 10-year amortizing notes. Citi is rumored to have been mandated. The offering, rated BB- by Fitch, is the first capital markets deal for Arcor in several years. Most of its debt is composed of a $263m IFC loan.