Telecom Argentina and Caja Los Andes are preparing to sell bonds in the international market this week, according to Fitch Ratings.
The Argentine telco plans to sell $500 million worth of seven-year bonds to refinance existing debt and to cover general corporate purposes, the ratings agency said in a report. It rates the new notes B.
The company began calling investors on Monday to pitch the bonds and has hired Deutsche Bank, JPMorgan and Santander as global coordinators, along with BBVA, BCP Securities, Latin Securities and UBS as joint bookrunners on the Rule 144A/Reg S offering, according to Bloomberg. Telecom Argentina will use a portion of the proceeds to fund a tender offer, the newswire said.
Telecom Argentina announced on Monday an offer to repurchase up to $100 million of the $389 million outstanding on its 8.5% 2025 bonds. The firm is putting up $993 for every $1,000 in principal for notes turned in by July 19 and $963 thereafter until the offer expires on August 5.
CAJA LOS ANDES
Caja Los Andes, for its part, is looking to sell bonds to fund social projects and pay down debt, Fitch said in a separate report.
“These USD denominated notes will be issued for a benchmark amount and a maturity yet to be determined, at an interest rate to be set at the time of the issuance,” the agency said.
Fitch expects to assign the notes a BBB- rating.
Caja Los Andes is the largest private, not-for-profit family allowance compensation fund in Chile.