Mexican homebuilder Corporacion GEO has filed for a bond offering of up to MXP2bn in long-term notes. The company is heard to be considering tenors of three and five years. Proceeds will repay short-term debt, as well as cover a $300m March maturity. The issue is rated A- on a local scale. Banorte and Santander will manage the sale.
Category: Regions
Posted inDaily Brief
Mexican Cinema Operator Preps Local Debt
MM Cinemas is planning to offer MXP1bn in 2013 bonds. Mexico’s second-largest cinema chain will use proceeds to repay debt and for working capital. Santander is sole manager on the mxA minus transaction, expected to take place February 13.
Posted inDaily Brief
America Movil Reported Seeking Argentina Listing
Mexico’s America Movil is planning to list on Argentina’s stock exchange, according to a report in the El Cronista newspaper, which did not indicate where it obtained the information. Officials plan to meet this moth to discuss the listing, which would not include new shares, with a transaction occurring as soon as March. America Movil was unavailable for comment yesterday.
Posted inDaily Brief
BCP Takeover Talk Gets Specific
Lima-based bankers continue to chatter about a sale of Banco de Credito del Peru to Santander, which the alleged target continues to deny. A $1.3bn price is rumored for a 60% stake in the bank and Santander president Emilio Botin is said to be making his way over to Lima next week. “There is absolutely nothing to date on any sale of the bank,” says Aida Kleffmann, investor relations officer at Credicorp, BCP’s holding company. She adds that there had been rumors about a transaction swirling for several weeks, but denied a sale was being planned, or that there had been meetings with Santander, either in the past or scheduled for next week. “There’s a lot circling around out there, but nothing going on,” says Carlos Munoz, COO said earlier this week. He added that the bank has no interest in selling itself. However, Credicorp is controlled by the Romero family, and everything has its price. But BCP remains Peru’s dominant bank in terms of assets and will likely only trade at a very full price.
Posted inDaily Brief
Peru Seen Holding on Rates
Last Friday’s lower than expected inflation reading leads analysts to predict no change at Peru’s Thursday monetary policy meeting. “The central bank will most likely keep the reference interest rate unchanged (at 5.25%) in its next monthly monetary policy meeting,” says Goldman. Peru has already increased rates by 75bp since July 2007 and raised bank reserve requirements last month, so it may want to take time to assess the effects of those tightening moves before moving again, it adds. The government also wants to avoid further sol appreciation.
Posted inDaily Brief
S&P Places MBIA Mexico on Credit Watch Negative
S&P has put MBIA Mexico’s AAA global rating on credit watch negative, following actions on its US parent MBIA Insurance. “The rating on the Mexican subsidiary is based on the comprehensive support MBIA provides to MBIA Mexico in the form of a reinsurance agreement, which calls for MBIA Mexico to cede 100% of its net exposure to MBIA, in addition to a net-worth maintenance agreement from MBIA,” the agency said. S&P also lowered ratings or put on credit watch negative seven Mexican, one Panamanian, and one Costa Rican residential mortgage-backed securities transactions backed by MBIA, Financial Guarantee Insurance and XL Capital Assurance, as well as placed five Chilean infrastructure securitizations backed by MBIA on ratings watch negative.
Posted inDaily Brief
Moody’s Considers Maxcom Upgrade
Moody’s has revised the outlook on Mexican telecom Maxcom to positive from stable, following a review initiated in November. The telecom and cable provider has seen operating results and credit metrics improve more than expected, the shop says, and its balance sheet has been helped by a successful IPO last year. Limitations from increasing competition in its sector and a high number of disconnections are mitigated by expectations that double-digit growth will continue into the future. Maxcom’s issuer rating remains B3.
Posted inMagazine
Peru Taps LNG Potential
Peru’s most ambitious private project to date is either a GDP booster or a waste of domestic resources. The impact on the region’s gas supply could be substantial.
Posted inMagazine
Project Finance Deal Financing Innovation
A New Mexican Market In what the Mexican government hopes will be the start of a new era in infrastructure investment, the first concession from Mexico’s Fideicomiso de Apoyo para […]
Posted inMagazine
Sovereign Bond
Keeping it Local Last year saw several significant and innovative transactions from sovereign issuers and many examples of creative liability management. But Peru’s $1.5 billion sol-denominated 2037 issue pushed the […]