Chile Files for $3bn Shelf

Chile has filed a $3bn debt program with the SEC, according to regulatory documents. The highest-rated LatAm sovereign made clear in April its plans to hit the bond markets for $1.5bn this year to help with a budget shortfall stemming from post-earthquake reconstruction. Chile did not indicate any lead banks in the filing, though is heard to have awarded the job to Citi and JPMorgan, according to DCM bankers. A formal RFP was circulated last month. The sovereign is planning to issue $500m through a debut peso-denominated global issue, as well as $1bn in 10-year dollar-denominated bonds. Though it had been expected to be able to come to the market as soon as this month, the sovereign is expected to sit out the downturn in global markets. An issue would be the issuer’s first dollar sale since 2004. Chile’s finance minister has said he plans to make more regular use of the bond markets going forward. Chile was upgraded Wednesday to Aa3 from A1 by Moody’s.