Bradesco Sells $500m Securitization

Brazil’s Banco Bradesco priced quietly last week $500m in 2014 bonds backed by future foreign payment receivables, at Libor plus 60bp, it has emerged. The private placement follows a similar $250m transaction by Banco do Brasil done last week. Bank of Tokyo Mitsubishi managed the sale. Other Brazilian banks are heard considering following suit, given the difficulties of accessing the international secured bond market. Bradesco placed similar $400m and $500m transactions in August and November, respectively. Banco do Brasil also last week privately placed $250m in 2014 bonds backed by future dollar cash flows generated by the bank’s electronic remittance business. The bonds issued under a $350m MT-103 program paid 55bp over Libor and are backed by Assured Guaranty.