Codere Upsizes Debut Dollar Deal

Codere Finance priced a $300m 2019 NC3 bond Wednesday, landing its dollar debut in the international bond market. The Spanish-based gambling group with significant LatAm operations upsized from an original $250m and priced the notes at par to yield 9.250% or UST+801bp, in line with 9.25% area guidance. “It was cheap to outstanding bonds,” notes one investor following the transaction. Codere’s outstanding 2015 euro bonds were trading at 8.5% Wednesday. Demand came from EM and US high yield accounts. The gaming company is raising funds for the purchase of an additional 35.8% stake in Mexico’s Corporacion Interamericana de Entretenimiento. Codere’s Mexican unit agreed in August to buy the stake for MXP2.68bn ($217m). Codere has operated in Mexico for 13 years and is also in Argentina, Brazil, Colombia, Panama and Uruguay. Credit Suisse Barclays and Itau led the B2/B transaction. The bonds were trading 100.25 in the grey Wednesday, according to an investor.