Tissue and Diaper Maker Readies MXP Bonds

The Mexican unit of consumer products manufacturer Kimberly-Clark is planning to sell up to MXP3.5bn in bonds in the domestic market, according to S&P, which rates the proposed issue AAA on a national scale. The maker of well-known brands including Huggies and Depends diapers and Kleenex tissues can issue bonds of up to 10 years at a fixed or floating rate. The ratings reflect a solid risk profile, low leverage and stable cash flow, S&P says. Kimberly-Clark’s last issuance was MXP2.5bn in 10-year notes priced at the TIIE minus 10bp, in July 2007 through Banamex.