JBS USA Prepares to Price

JBS USA has emerged with 8.50%-8.75% guidance on a $400m 8-year NC3 bond ahead of pricing expected today. The B1/BB rated US subsidiary of the Brazilian meatpacker is raising funding to repay debt at the parent level. The move makes sense in the context of the wide spread differential between the US and Brazilian units. “Investors really do value having a US issuer, and feel more secure,” adds New York-based syndicate official. Banco do Brasil, JPMorgan, Santander, Rabobank and Wells Fargo are managing the sale.