Ecuador May Sell More Bonds; Will Buy Back $250 Million Debt

Following the success of its return to the international debt capital markets on Wednesday when it sold $650 million 10-year bonds, Ecuador is considering a further bond issuance. The sovereign said its offering was twice oversubscribed. As planned, Ecuador will use the funds to buy back $250 million, or two years’ worth, of its global 2012 bond (it is obliged under its default terms to repurchase at least $125 million every year from next year). It also plans to used the money raised to help buy back $600 million of local short-term debt to aid liquidity.