YPF Moves Ahead with Bond Upsize

Argentina’s state-controlled oil and gas company YPF plans to ask for approval to expand its debt program by $2bn, it says, and will put the matter to a shareholder vote September 13. The authorization would come in addition to the $1bn for which it is already authorized. Faced with large capex needs, YPF has indicated it plans to sell up to ARP3.5bn ($760m) in bonds, targeting the domestic market. YPF had earlier this year been considering an international bond, but is said to prefer a local issuance given conditions in the international markets, as well as likely difficulties approaching international investors in the wake of the company’s nationalization earlier this year.