Buenos Aires Province Readies Bond

Argentina’s Province of Buenos Aires is preparing to launch a bond delayed since the end of February and hopes to raise around $400 million in the international markets, report local media. The province pulled the bond after emerging markets took a nosedive in February. Yield guidance then had been in the 9.5% range and the transaction was destined to satisfy the province’s financing needs for 2007, which run to over $500 million. Joint leads are Deutsche Bank and Barclays. The deal has a B3 rating. Last October, the province returned to the international capital markets for the first time since Argentina’s debt default to sell $475 million in bonds. The 12-year bonds were sold to yield 9.375%.