Grupo Voto Hits the Road

Brazil’s Grupo Votorantim will today begin a roadshow for a benchmark-sized 10-year bond, scheduled to be wrapped up Thursday. The deal could reach $750m in size, say bankers on it. The recently downgraded Brazilian high-grade name (BBB/BBB-) comes to market at an optimal time. “The market’s feeling giddy and people are bulled up on LatAm, especially Brazil,” says a DCM banker on the deal. Yesterday, CSN’s tightly priced $750m 6.875% of 2019 bond traded up as much as 2 points in the gray, indicating a strong bid for sub-investment grade credit. “The guys at Voto must be loving this — it’s a nice little benchmark for them,” says an investor who bought CSN. Voto is led by Citi and HSBC on the left and Santander and Itau as joint bookrunners. The Reg S/144a deal is touring in 2 teams. The first kicks off in London today and tomorrow before wrapping up in the US West Coast Thursday. The second group is in New York today and Thursday, stepping out to Boston Wednesday. Votorantim CFO Joao Miranda and CEO Raul Calfat are on the tour.