Meanwhile, Mexico’s largest bank, Bancomer, a subsidiary of Spanish BBVA, has posted third-quarter net profits of $54.6 million, 4.6% down on last year. This takes the bank’s net profits for the first nine months of 2005 to $552 million, up 34% year on year. BBVA Bancomer contributes about 30% of the total profit of BBVA, and accounts for around 60% of the profit of BBVA’s Latin American operations.
Category: Regions
Posted inDaily Brief
Mexico New Rate Cut
Mexico has cut its overnight lending rate for the third time in as many months as inflation hits a record low. The benchmark rates were lowered from 9.25% to 9% following a quarter percentage point reduction in September. The latest cut was widely expected by the market.
Posted inDaily Brief
BBVA Banco Continental Peru Profits Up 103%
Peru’s second-largest bank, BBVA Banco Continental, has announced a profits increase of 103% for the third quarter of 2005, compared with the same period last year. Profits of $39 million in the third quarter take accumulated earnings for the first nine months of the year to $95.2 million.
Posted inDaily Brief
Colombia Majority Support Uribe Reelection Bid
A recent poll commissioned by various local media in Colombia show that 68% of people in the country support the decision of the Constitutional Court to allow President Alvaro Uribe to stand for reelection next year.
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Pemex Issues 10 Billion Pesos Local Bonds
State-owned oil company Petróleos Mexicanos (Pemex) has issued 10- and six-year bonds worth 10 billion pesos ($920 million) in the local market. The 10-year issue offered a rate of 9.31%, or 45 basis points above 10-year government bonds. The six-year bond offered a variable rate of 35 basis points above three-month Cetes. The issue was three times oversubscribed.
Posted inDaily Brief
Peru Prepares Sale Of New Telecoms License
Peru is preparing to sell a fifth cell phone license to increase competition in the sector. Nextel Perú and Millicom International of the US are both reported to be interested in bidding. The most recent entrant to the Peruvian telecoms market was América Móvil, one of Latin America’s largest telecoms companies, when it bought the local operations of Italy’s Telecom Italia in August beating off rival Spanish Telefónica Móviles.
Posted inDaily Brief
Public Share Offer For Bavaria Shares
SABMiller, the London-based beermaker that now owns 71.8% of Colombia’s largest brewer Bavaria, is to made a public offer for shares on 5 December to minority shareholders as part of its takeover plan. It will offer shareholders $19.48 per share.
Posted inDaily Brief
Ecuador Selects Deutsche Bank And JP Morgan To Advise
Deutsche Bank and JP Morgan have been selected to advise the Government of Ecuador when it returns to the international capital markets with its forthcoming issue of $500 million in external debt bonds. The consortium formed by the two banks beat off competition from Citigroup, Credit Suisse and Commerz Bank following the announcement of the Finance Ministry on 2 October inviting bids from interested banks.
Posted inDaily Brief
El Fénix Gets Backing
Mexican companies agreed to support a scaled back version of the government’s controversial El Fénix petrochemical project. The project is now budgeted at $800 million, two-thirds less than before. Private investors will take at least 51% in El Fénix, but feedstock prices are still under negotiation with the government. The complex was originally expected to cost $2.5 billion.
Posted inDaily Brief
Colombian Brokers In Panama
Colombian brokerage company Suvalor has been granted a license by Panama’s Securities Commission to operate in the local market. Suvalor is the second Colombian brokerage to be allowed to enter the Panamanian market – Interbolsa received the green light in September and began operations last week.