AMX Debuts in Samurai Market

America Movil (AMX) has raised JPY12bn ($156m) through in dual tranche issue, marking its debut in the Samurai market. A 3-year JPY6.9bn tranche was sold at par to yield 1.23% at yen Libor+80bp, while a 5-year JPY 5.1bn bond was priced at par to yield 1.53% or yen Libor plus 100. Both priced in line with earlier guidance of yen Libor+70-90bp for the 3-year and +90bp-110bp on the 5-year. “This is the first time a Latin America corporate has tapped a Samurai transaction without a JBIC guarantee,” notes a person familiar with the transaction. The deal marks the first corporate issuance in this market in about five years, and should pave the way for other LatAm issuers to follow suit. The Samurai follows AMX’s $2bn 5-year bond and $750m retap of its 2040s in which it locked in the second lowest coupon ever achieved by a telecommunications company. AMX issued a CHF270m 2016 bond in August that came with a reoffer price of 99.775 to yield 2.039%, or mid swaps plus 86bp. The Samurai transaction was led by Mitsubishi UFJ-Morgan Stanley and Mizuho. This comes after America Movil also recently met investors in Europe via Deutsche Bank. Japan Credit Rating Agency has assigned an A rating with stable outlook to Japanese yen-denominated bonds from America Movil (AMX). AMX is rated A2/A/A.