Arca Plans Local Bond

Mexico’s Embotelladoras Arca is planning a local bond, and aims to sell up to MXP3bn in fixed and floating rate notes, according to an S&P report assigning a AAA rating on a national scale. The tenor should be up to 7 years, S&P says, and proceeds should be used for refinancing debt. A banker on the deal says the bottler would like to price by mid-December. HSBC is managing the sale. In June, Arca sold MXP1.5bn in domestic bonds, including MXP1bn in 2012 notes at TIIE plus 100bp, and MXP500m in 2016s at a fixed 9.75% rate.