Chilean Issuers Line Up To Sell Local Bonds

Chile’s state-owned railway company, Empresa de Ferrocarriles del Estado (EFE), has issued $84 million worth of inflation-linked local bonds (UF2.4 million), maturing in 2036 and carrying an annual interest rate of 4.4%. The notes are part of the company’s Series T offering and are rated AAA. And local retailer Cencosud is to make its second debt offering this year when it sells up to $43 million worth of bonds on Friday. The bonds will mature in May 2011. Meanwhile, Electricity distributor EMEL, controlled by US company PPL Global, is to offer $211 million worth of bonds (UF6 million) in two series. One series offers maturity of 10 years, while the other matures in 30 years. The first tranches of the first series will be for up to $105 million worth of five-year bonds and for the second series up to the same amount of 21-year bonds.