Arca Prices Tight MXP Bond

Mexico’s Embotelladora Arca has priced an MXP3.5bn dual tranche deal via HSBC. A MXP1.0bn 5-year floating rate tranche priced at TIIE plus 29bp, tight to guidance of 35bp-40bp over TIIE, after it was 2.4x oversubscribed, according to a banker on the deal. A 10-year fixed rate tranche priced at Mbono plus 114bp, versus guidance of 120bp-30bp over Mbonos. The bonds are rated AAA on a national scale. HSBC was sole bookrunner. Proceeds will be used to pay down bank debt, according to a regulatory filing.