Mexico Readies Local Bond Syndication

Mexico has begun meetings with investors ahead of a new 6.5% 2021 syndicated bond sale, the finance ministry says. It does not give the exact pricing date or the size of the offering, noting only that it will be in Q1 and be reopened at primary auctions beginning in Q2. Last year, Mexico sold MXP60bn at 5, 10 and 30-year maturities during 2010, kicking off with a MXP25bn 10-year in February. It introduced the syndication formant with that sale in order to give its local benchmarks instant liquidity and index eligibility, as well as broaden the investor base. Santander, BBVA Bancomer, HSBC and Banamex are managing the sale.