Cosan Gets Strong Bid for BRL Reopening

Cosan has retapped its 2018 BRL-denominated bonds to raise BRL350m ($175m), getting BRL1.1bn in orders. The 9.500% bond reopened at 102.75 to yield 8.803%, the tight end of 102.25-area guidance. The deal was seen offering a 1.0 point discount to a 103.75 level pre-announcement trading level. The bond traded at 102.75-103.5 Tuesday following the transaction. The total size now stands at BRL850m, following the original sale March 8 that was part of a $750m offering also including a dollar tranche. The diversified agriculture, energy and infrastructure company plans to use proceeds from the reopening to repay indebtedness. Bradesco, BTG Pactual, Itau and Morgan Stanley managed the transaction, done through Cosan Luxembourg and guaranteed by Cosan Industria e Comercio. The 2018 priced at a 9.625% yield in the original sale, alongside a $500m 5.0% 2023 NC5 that priced to yield 5.15%.