Chile Metals Firm Sells UF Bonds

Chilean metals processor Molymet has placed $201m equivalent in local bonds denominated in the UF inflation-linked unit. A $121m equivalent 2013 tranche priced at 98.33 with a 3.50% coupon to yield 3.89% and an $80m equivalent 2028 tranche priced at 92.56 with a 4.25% coupon to yield 4.85%. Proceeds from the A+ rated sale will be used to restructure debt and finance expansion. Larrain Vial managed the transaction. Molymet, with production facilities in Chile, Mexico, Belgium and Germany, is also preparing the sale of 10-year bonds in the Mexican market via Banamex, expected this month.