Celulosa Argentina Postpones Dollar Bond

Celulosa Argentina has postponed its planned $150m 7-year NC4 after investors pushed back on yield guidance at 10%-10.25% area. “In the case that favorable conditions exist in the local and international markets in the near future, it is Celulosa’s intention to structure a new bond for up to $280m,” says the company in a filing with Argentina’s CNV. Investors had been asking for 11% plus to buy into the bond, but the pulp and paper producer cited regulatory constraints to pricing north of 10.25%. Celulosa’s difficulties came amid a tough week for LatAm issuers with Argentine blue-chip YPF also fighting to get satisfactory pricing and being forced to keep books open until this week. Citi and Credit Suisse were the leads. The credit is rated B2/B by Moody’s and Fitch.