CFR Issues Tight Debut

CFR has issued UF3m ($142) in domestic bonds, in the Chilean pharmaceutical company’s first-ever debt sale. A 2033 bond with a 10-year grace period priced at 100.43, with a coupon of 4.00% to yield 3.96%, or 136bp wide to government bonds. The yield was lower than expected, says a source familiar with the deal, who adds that the transaction also demonstrated demand for long-dated corporate paper. The order book reached about UF5m. Proceeds could be used for M&A activity. IMTrust and Santander managed the transaction, rated A+/A on a national scale.