Three Brazilian companies — zinc producer Nexa Resources, investment bank BTG Pactual and car rental firm Movida — began calling investors on Monday to pitch the sale of bonds in the international market, a source familiar with the deals told LatinFinance.
Nexa plans to sell 10-year notes to fund a tender offer on two series of bonds, while BTG Pactual and Movida are looking to print five-year notes, the source said.
Nexa has hired eight banks — BBVA, Citi, HSBC, JP Morgan, Mizuho, MUFG, Santander and Scotiabank — as joint bookrunners on the Rule 144 A/Reg S deal, he added. Fitch and S&P both said they rate the new notes BBB-.
In a press release announcing the tender offer on Monday, the mining company said it is offering to repurchase any or all of the $700 million outstanding on its 5.375% 2027 bonds and as much as $100 million worth of 6.5% 2028 notes. The firm is putting up an even exchange for every $1,000 in principal on the 2027s and $1,020 for the 2028s including a $30 premium.
The offer for the 2027s expires on April 5; the offer for the 2028s expires April 29, with an early-bird deadline on April 12, the release said.
BTG PACTUAL, MOVIDAS
Meanwhile, BTG Pactual has appointed itself along with four other investment banks —Bradesco BBI, Citi, Itaú BBA and JPMorgan — to lead its bond sale as joint bookrunners, according to the source. Brazilian bank Safra is co-manager on the deal, he added.
BTG plans to use the proceeds from the bond sale for general corporate purposes, the bank said in a presentation to investors. Moody’s rates the notes Ba2.
Movidas, for its part, has hired Morgan Stanley, Bradesco BBI, Goldman Sachs, Itaú BBA, BTG, Citi, MUFG, Santander, UBS and XP as joint bookrunners on its cross-border deal, according to the source.
Moody’s and Fitch rate the notes Ba3 and BB respectively.
The car company plans to use the funds to refinance debt and for general corporate purposes, the rating agencies said.