Aeromexico Taxis out ABS

Aeromexico is looking to issue up to MXP1.7bn ($130m) in Mexico’s domestic bond market December 4, according to people familiar with the airline’s plans. The 5-year notes will pay a spread to the TIIE benchmark and are backed by future flows from credit card payments. Proceeds will be used to replace debt. Actinver, Banamex, and BBVA are managing the deal, rated AA+ on a national scale. Aeromexico issued $117m in bonds guaranteed by the US Export-Import Bank in July, but has otherwise not been a frequent borrower in the domestic or international bond markets in recent years. It raised $330m in an IPO in 2011.