Santander Chile Readies USD/CLP Bonds

Santander Chile is set to sell a benchmark size 2015 bond and a minimum $300m equivalent 2020 global peso bond, as soon as today, according to bankers on it. The issuer is out with UST plus 237.5bp-250.0bp official guidance on the dollar tranche. Investors, who expect the dollar issue at $500m, point out this is about 170bp wide of the sovereign, for a A+/Aa3 credit. A banker on the deal notes this is an appropriate level, as the bank’s Spanish parent is at about UST plus 240bp. There is no guidance on the peso tranche, which would be the first CLP-denominated cross-border issue for a non-sovereign, according to Dealogic. Deutsche Bank, JPMorgan and Santander are managing the transaction.