Mexican consumer products company Mabe has closed a $120m term loan, according to people familiar with the matter. The 5-year facility pays Libor+295bp. Barclays is the admin agent on the transaction, and is bookrunner along with Sumitomo Mitsui. Comerica Bank and Scotia come in at manager level.
Category: Regions
Posted inDaily Brief
Davivienda Unveils Bond Terms
Banco Davivienda is expected to sell COP300bn ($155m) in Colombia’s local bond market today, with the ability to upsize to COP400bn, according to offering documents. The bank can choose from a 2-year IBR-linked tranche with a maximum interest rate of IBR+2.05%, and a 7-year IPC-linked tranche with a maximum interest rate of IPC+4.35%. The bank’s Davivalores arm is managing, at the head of a group of banks. The issuer is to be followed Wednesday by electricity generator and distributor Celsia.
Posted inDaily Brief
Road Operator to Pitch 144a Investors
OHL Mexico’s Concesionaria Mexiquense (Conmex) road concession is planning to issue UDI-denominated international bonds, according to a prospectus. OHL Mexico confirmed plans for fixed-income investor meetings, but declines to provide further information. The toll road operator is planning a 2035 UDI-denominated senior secured tranche and a 2046 UDI-denominated zero-coupon senior secured tranche, according to the prospectus. The tranches have weighted average lives of 19 and 28 years, respectively. Proceeds will be used to refinance existing debt. Goldman Sachs is managing the 144a/RegS transaction, to be rated BBB/BBB. The size and timing were not immediately clear. Conmex is an indirect wholly-owned subsidiary of OHL Mexico, and is its largest asset in terms of kilometers, toll revenue and Ebitda generation. It operates the 155km Mexico City Beltway under a 30-year concession.
Posted inDaily Brief
Peru Power Plant Completes Project Bond
Planta de Reserva Fria de Generacion de Eten, has raised $132.8m through a novel project bond, according to people familiar with the transaction. The Peru-based power generation company’s 20-year partially guaranteed bond priced at par with a 7.65% coupon and closed this week. The senior secured notes come with a 20% credit guarantee from development bank CAF. Proceeds will be used to finance a 20-year concession to build and operate the 223 megawatt Eten simple-cycle natural-gas fired power plant in Peru’s Chiclayo province. BTG Pactual was sole lead on the RegS-only transaction, rated BBB minus/BBB minus. The project will provide a reserve electricity source to Peru’s National Interconnected Electricity Framework (SEIN) for periods of increased demand or shortage of supply. It will also provide energy in circumstances where it is more efficient for the SEIN to receive energy on a reserve, standby basis. The project is sponsored by Cobra Peru, a unit of Spain’s ACS, and EMCE. The transaction represents LatAm’s first international greenfield project bond, first power plant project bond and first international project bond with a partial credit guarantee, according to DLA Piper, counsel to BTG Pactual.
Posted inDaily Brief
Petroperu Float Back On
Peruvian government officials indicated Monday that they are renewing efforts to privatize a minority stake in oil producer Petroperu. New legislation being prepared would include the sale of up to 49% of Petroperu in order to modernize and better manage the state-owned producer, according to public remarks by Finance Minister Luis Miguel Castilla cited in local news reports. The intention to open up Petroperu to private investment has been repeated by several government and company officials in recent years, though a concrete plan has yet to emerge. Petroperu will also spend $3.5bn to upgrade the Talara refinery.
Posted inDaily Brief
Chilean to Open in Hong Kong
Banco Security has been authorized by the Hong Kong Monetary Authority to open a representative office in Hong Kong, the Chilean bank says. It is expected to begin operations in the first quarter of 2014.
Posted inWeb Articles
Businesses on Mexican border prep suit against tax hike
VAT rise as part of Mexico’s fiscal reform provokes ire in region that contributes 25% of GDP
Posted inDaily Brief
Mexico Holds Rates
Mexico’s central bank held rates at 3.5%, in line with market expectations. Barclays points to the board’s prior indications that it didn’t see cuts in the near term. The shop says it expects Banxico to also hold when it meets in January, given inflation and growth considerations. “If the economy behaves as the board is expecting, Banxico will likely remain neutral during 2014,” it says.
Posted inDaily Brief
Nemak Closes Facility
Grupo Alfa auto parts manufacturer Tenedora Nemak has closed a $465m 2018 senior unsecured loan, according to people following the process. The price is tied to a leverage grid, with the borrower paying Libor+150bp at less than 2.0x, 175bp at 2.0x-2.5x, 200bp at 2.5x-3.0x and 225bp at more than 3.0x. BBVA Bancomer, Citi, HSBC Mexico, Banco Santander and Export Development Canada participated in the deal, at $93m each. Citi was the admin agent, and was a joint lead arranger and joint bookrunner along with BBVA, HSBC and Santander. The Mexican is a producer of aluminum engine blocks, cylinder heads and transmission components.
Posted inDaily Brief
Sigma Pitching Lenders
Mexico’s Sigma Alimentos is planning a bank meeting Tuesday for a $1bn senior unsecured term loan facility, LatinFinance understands. The 5-year loan comes at Libor+125bp and is tied to a leverage grid. Bank of Tokyo-Mitsubishi is leading. The Grupo Alfa food products subsidiary is making a EUR675m ($908m) bid for European meat company Campofrio Food Group. It is also planning an IPO with Citi, Goldman Sachs, Bank of America Merrill Lynch and Banorte-Ixe, likely happening in 2014.