Air Jamaica Lands $125m

Air Jamaica hit turbulence Thursday with a $125m sale of 20-year amortizing 8.125% bonds, priced at 98.949 to yield 8.250%. Price talk ahead of the deal shifted around, with reports ranging from 7.625% to 8.000%. Thanks to what one buysider away from the deal identified as sellside trading support, the bonds closed the day at 98.100-99.100. Lead bankers quoted the bid-ask at 98.900-99.100, a hair below reoffer. Jamaica’s sovereign interpolated curve at the 15-year maturity widened out 10bp to 7.85% during the day, according to a banker working with Air Jamaica. Bear Stearns led. Average life was 15 years.