Minerva Talks Low 11s

Price expectations on a new $250m 2020 NC5 bond from beef producer Minerva is in the low 11% area, according to investors following the deal. The B3/B Brazilian meatpacker was heard surpassing $600m in orders Thursday, and could price as soon as today. Such a yield may prove attractive to investors seeing overall tightening yields in the Brazilian corporate space, says a European EM investor, if they can get comfortable with 5x-plus leverage. Proceeds from the sale are earmarked for refinancing 2010 and 2011 maturities. Goldman Sachs and Banco do Brasil are managing the transaction.