Brazilian financial services firm XP, Domincan airport operator Aerodom and oil and gas producer Pluspetrol Perú raised a combined $1.5 billion on Thursday amid a surge in cross-border bond sales by Latin American issuers this month.
XP sold $500 million worth of five-year bonds to fund an ongoing tender offer for its 2026 bonds, according to a source familiar with the deal.
The 2029 notes carried a coupon of 6.75% and priced at 98.96 to yield 7%. XP opened the initial price talk in the low to mid-7% area and set guidance at around 7.125%, plus or minus 12.5 basis points, before launching the deal, the source said.
São Paulo-based XP said in a press release Thursday that investors holding $304 million worth of its 3.25% 2026s took up the buyback offer. It has yet to accept the notes.
XP appointed its own banking division, along with Bank of America, Bradesco BBI, Citi, Goldman Sachs, Itaú BBA and JPMorgan as joint bookrunners on the Rule 144A/Reg S offering and as dealer managers on the buyback. Fitch expects to assign the notes a BB rating.
The offering came amid a flurry in global offerings from the region this month, including Brazilian corporate issuers Vale and Aegea, and sovereigns such as Brazil, Peru and the Dominican Republic.
AERODOM DEAL
In a second cross-border deal on Thursday, Aerodom issued $500 million worth of 10-year, non-call five notes, according to the source.
The airport concessionaire priced the 2036 notes at par to yield 7%, after opening the initial price talk in the low to mid-7% area and setting guidance at around 7.125%, plus or minus 12.5 basis points, the source said.
Citi, JPMorgan and Scotiabank were bookrunners on the bond offering, the source added.
Fitch expects to assign the new notes a BB+ rating.
The concessionaire will use the proceeds to repay existing debt and make concession-related payments, according to the ratings agency.
PLUSPETROL ISSUANCE
The Peruvian subsidiary of Argentine oil and gas company Pluspetrol was the third Latin American issuer in the market on Thursday. It sold $500 million worth of 12-year bonds to refinance debt and cover general corporate purposes, according to the same source.
Pluspetrol Perú priced the 6.24% 2036 notes at 99.924 to yield 6.25%. It opened the initial price talk in the high-6% area and set guidance at around 6.375%, plus or minus 12.5 basis points, before launching the sale, the source said.
Bank of America, Citi and JPMorgan were joint bookrunners on the deal, the source added.
Pluspetrol operates the Camisea gas field in Peru and also has operations in Argentina, Bolivia and Colombia.