Cruzeiro Nips in for Debt Before Carnival

Banco Cruzeiro do Sul has raised $250m in new 2015 bonds, fitting the issue in before the Brazilian Carnival holiday amid continued volatility in the global markets. The Ba2 offering priced at 99.007 with a 8.500% coupon to yield 8.750%, in line with 8.750% area guidance. Bankers on the deal spot the demand at about $280m from more than 100 accounts. BCP and BTG Pactual managed the 144a/Reg S sale, marking a debut for the latter in this market. Cruzeiro sold $175m in 2012 bonds in September to yield 8.5%, also through BCP. A general decline in risk appetite has not deterred some Brazilian banks from issuing, with Banco Votorantim pulling off a $500m 3-year deal earlier this month. However, larger expected issuers heard wanting 10-years, such as Bradesco and Itau, appear to be waiting.