Pemex Raises MXP10bn

Pemex has sold MXP10bn ($740m) in domestic bonds, reaching the market after initially trying to price a MXP15bn offering in early September. The Mexican state-owned oil producer sold MXP7bn in 2017 floating-rate bonds at TIIE+24bp and MXP3bn in 10-year UDI-denominated bonds at 3.55%, or MBonos+95bp. The tranches saw 2.5x and 1.8x demand, respectively. Proceeds from the issue, rated AAA on a national scale, are to be used for investment purposes and to address existing debt. HSBC and Santander are managing the deal, which originally had four banks on it. Pemex last came to the local market when it issued MXP10bn in 5-year bonds earlier this year.