Mexican Petrochem Poised to Price

Petrotemex has announced yield guidance of 9.50%-9.75% for its new BB/BB+ 2014 bond, expected to price this morning. The petrochemicals producer controlled by Mexican conglomerate Grupo Alfa is looking to follow compatriots Javer and Alestra, as well as Brazil’s Cosan in tapping growing investor demand for Latin high-yield credits. The order book was heard topping the $300m mark Tuesday afternoon, according to investors. Bank of America-Merrill Lynch and JPMorgan are managing the transaction, whose proceeds will refinance old debt. Baring a surprise, the transaction should be the last from the Latin cross-border bond market until September.