America Movil Ponders Titulos Retap

Mexico’s America Movil is preparing the next reopening of its titulos de credito extranjero global peso securities, according to people familiar with the plans, with a transaction possible as soon as this week. The Carlos Slim telecom aims to tap the securities – offering seamless sale to international and domestic investors – once per quarter, though it had to hold off due to broader market volatility in the middle of the year. Plans earlier this year were for the next retap to be up to MXP10bn ($759m). America Movil first sold MXP15bn in the 2022 bonds in November, and retapped in February for MXP7.5bn. The legal platform established by the new asset class allows for more flexibility than regular Mexican local bonds, meaning the issuer can decide to come to market quickly, or wait if conditions aren’t there. HSBC, Deutsche Bank and Morgan Stanley would be expected to manage, given the issuer’s policy of rotating banks on the program, with BBVA Bancomer, Banamex and Credit Suisse as passive bookrunners. The senior unsecured bonds are SEC and CNBV registered, denominated and settled in MXP, and trade on a fungible basis in the international markets and Mexico. They are rated AAA on a national scale and A2/A/A minus internationally.