Fovissste Brings Well-Bid RMBS

While cross-border debt issuance has remained on hold this week, Mexico’s bond market remains open for business, with government housing lender Fovissste raising MXP4.99bn ($382m). The UDI-denominated RMBS offering saw 2.4x demand. The 30.3-year bond with 5.4-year average pays 3.56%, or Udibonos+267bp, inside of Udibono+270bp expectations. Proceeds are to fund lending operations. BBVA Bancomer, Banorte-Ixe and Santander managed the sale, rated AAA on a national scale. The government-backed lender previously visited the market in August, raising MXP4.8bn in 2042 notes paying 3.85%. US stock and bond Markets were expected to open again Wednesday following closure due to severe weather.