BBVA Chile Talks MXP Price

BBVA Chile is heard targeting a TIIE+60bp spread for a new 3-year floating rate bond, its first in the Mexican local market. The level would be in line with a similar spread paid on Banco de Chile’s recent MXP1.5bn ($111m) 3-year bond. BBVA Chile is planning to become the fourth Chilean issuer to tap Mexico’s domestic market, and is looking to issue up to MXP2bn. The timing of the sale has yet to be determined. Proceeds will be used to fund bank operations. BBVA Bancomer is leading the transaction, rated AAA on a national scale.