Su Casita Sticks to DCM Plan

This week’s takeover of Mexican mortgage lender Su Casita by Spain’s Caja Madrid should not affect issuance by one of the most active MXP bond market borrowers. “For now I think we are going to stick with what we presented at the beginning of the year. We are still going to rely on debt capital market issuances, this really doesn’t change that much,” Hipotecaria Su Casita CFO Mark Zaltzman tells LatinFinance. At the beginning of the year, the issuer had indicated plans to do $800m-$1bn-equivelant in RMBS by the end of the year. It has so far placed MXP1.9bn via an April issue. However, the official cautions that the overall outlook may require some revisions, suggesting a reduction in issuance at some stage. “We know that growth isn’t going to be as high as we expected at the beginning of the year. Sadly this is a result of a very volatile market and conditions are continuously changing,” says Zaltzman. Su Casita’s mortgage lending will likely be hit by market volatility, but the CFO sees benefits coming from its new ownership. “The Caja Madrid acquisition is only good – with volatility you need strength,” says Zaltzman.