CFE and Interacciones to Issue MXP

CFE will issue a 4-year floating and 10-year fixed rate bond today, for up to MXP14bn, according to a banker on the deal. Guidance for the floater is in the 30bp over TIIE area, and on the fixed rate 120bp area over Mbonos. Banamex, BBVA Bancomer and ING are bookrunners. The bonds are rated AAA on a national scale. The transaction had been planned for mid-November, but the issuer opted to await a less crowded market. The transaction is the first from a new program. Use of proceeds is general financing purposes. Meanwhile, Interacciones will issue MXP1.5bn 3-year unsecured bond, according to a lead banker. Guidance is 130bp area over TIIE and the bonds are rated A1 on a national scale. Interacciones and HSBC are joint leads. The bonds will be used to finance expansion of its credit portfolio.