Bancoestado Delays Local Bond

Chile state owned lender Bancoestado plans to issue UF3m ($118m) in 28-year bonds June 30. It had previously notified the market it would issue the bonds today, but later changed the date, without explaining why. Calls to the bank were not returned. The bond is denominated in inflation-linked UF units and will carry a 4.5% coupon. Local ratings are AA+/AA and the deal will be self-led. The bank has been absent from the local market since December, when it priced a UF5m 3.6-year deal at 98.99 to yield 3.40%, or 60bp over the sovereign.