Mexichem Tests Waters with Price Thoughts

Mexichem’s is testing the waters with initial price thoughts on a 2-tranche domestic bond as it prepares to raise up to MXP5bn ($394m) as soon as February. Investors are hearing TIIE+60bp to +70bp on a retap of Mexichem’s 2016s floating rate bonds, and around Mbonos+140bp on a fixed-rate 10-year. The 2016s were originally sold in September with a MXP2.5bn size and priced at TIIE+60bp.The Mexican chemical company is raising funds to refinance debt. The issue is being led by BBVA, Banamex and HSBC. Mexichem has an AA national scale rating.