Issuers Scramble for ARP-Linked Debt

Argentine banks are scrambling to issue peso-linked debt in the hopes of raising inexpensive funding from this hot market. On Thursday, Banco Macro clinched $100m worth of 5-year peso-linked notes at par to yield 10.75%, the tight end of 11% area price guidance. Tarjetas Cuyanas, a credit card issuer, also announced an offering Wednesday of $65m worth of 2012 amortizing peso-linked notes, set to price next week. Roadshows are scheduled for New York and London. Banco Galicia, 60% owner of Cuyanas, and Barclays have joint books. Bankers report a robust pipeline of three to five year fixed rate peso issues in the offing. Among deals rumored to have been stalled by the moratorium is a $200m equivalent peso-linked offering from Banco Hipotecario, via Citi.