Posadas Finishes Convert Sale

Mexico’s Grupo Posadas has raised MXP900m ($71m) through the sale of convertible 2014 domestic bonds in a private sale to its existing shareholders, it says. The 9.0% bonds will mandatorily convert at the maturity, and are secured by MXP300m of the hotel operator’s assets. The transaction was done to increase the company’s liquidity. The deal should lower adjusted leverage to 6.1x from 6.8x as of December 31, 2011, Fitch says.