Celulosa Sets Guidance

Celulosa Argentina has set yield guidance of 10%-10.25% area for a $150m 7-year NC4. The transaction is in the book building process and is expected to price today should market conditions allow. With single-B Argentina comps trading closer to a 9.50-9.75% area, a yield at 10% or more might be doable for investors depending on risk appetite. The B2 Moody’s rated pulp and paper producer is seeking funds to repay debt and invest in forestry and its industrial plant. Citi and Credit Suisse are managing the sale. It would be the issuer’s dollar debut bond.