* Brazil, Argentina push for closer trade with Mexico in
* Argentina's bank kept its monetary policy unchanged at
* Worst seems to be over in 2017 for Mex peso: FX
By Mike Gambale
NEW YORK, Feb 7 (IFR) - Below is a recap of issuance
activity in the Latin American primary markets on Tuesday.
Number of deals priced: 1
Total issuance volume: US$150m, PEN1.5bn
Peruvian mortgage bank Fondo Mivivienda announced a tap of
its US dollar 3.5% 2023s and the issue of a new 7-year
sol-denominated global depositary note.
Expected ratings on the 144A/RegS tap are BBB+/BBB+, while
GDN will be rated BBB+/A-. Both tranches will be governed by New
York law. Citibank is acting as custodian and depositary on the
GDN, which is clearable through DTC/Euroclear and Clearstream.
Morgan Stanley and Scotiabank are leads on the deal.
IPTs: Tap at T+180bp, 7-year GDN at low 7%
PRICE GUIDANCE: US$ tap of 23s: T+175bp area (+/- 5); PEN:
7.0% area (+/- 12.5bps)
LAUNCH: US$150m tap of 23s at T+170bp; PEN1.5bn at 7.0%
PRICED: US$150m tap of 3.5% 1/31/23. At 99.802, yld 3.537%.
PEN1.5bn 7yr (2/14/24) at 7.0%
BOOKS: tap '23s US$700m, 7-year US$2.3bn
The Province of Buenos Aires is readying fixed-income
investor meetings as it prepares to market a US dollar bond
sale. The borrower was in New York and London on February 6 and
will head to New York and Boston on February 7. Ratings are
B3/B-. BBVA, BNP Paribas and JP Morgan have been mandated to
coordinate the meetings.
Stoneway Capital Corporation, a private company with equity
contributed by Siemens AG, formed for the purpose of
constructing, owning, and operating four simple-cycle power
generating plants in the Buenos Aires region of Argentina, has
secured four Power Purchase Agreements through CAMMESA for a
10-year period on each. The company mandated Jefferies as sole
global coordinator and Jefferies and Seaport Global as
joint-bookrunners to arrange meetings with fixed income
investors starting on January 31 for a US$500m US
dollar-denominated 144A/Reg S senior secured offering of 10-year
The roadshow schedule is as follows: Wed Feb 1: New York,
Thu Feb 2: New York, Fri Feb 3: Los Angeles, Mon Feb 6: Boston,
Tue Feb 7: London, Wed Feb 8: London, Thu Feb 9:
Uruguay will sell US$2.05bn in debt in 2017, up from
US$1.7bn last year, the Economy Ministry said in a report, as
the country aims to balance its books after posting its sharpest
fiscal deficit in years.
The South American country's financing needs will total
US$2.97bn, the report said. The country plans to receive US$550m
from multilateral lenders and will tap reserves for US$200m,
with the remaining US$170m coming from other sources.
Argentina plans to issue US$1.5bn-$2bn of Swiss franc bonds
in two to three issuances this year, one of which will be in the
first quarter, Reuters quoted Finance Minister Luis Caputo
Caputo has previously said a total of US$3bn in non-dollar
bonds will be issued this year, following the sale of US$7bn in
dollar bonds last month.
Brazilian power company Neoenergia is considering a possible
US dollar bond debut this year after sending out requests for
proposals in late 2016, two market sources told IFR.
Neoenergia Group's principal shareholders are Banco do
Brasil's pension fund Previ, with a 49.01% stake, and Spain's
Iberdrola with a 39% stake, according to the company's website.
Paraguay is considering raising up to US$550m in the bond
market in March, Reuters quoted Finance Minister Santiago Pena
Inversiones Atlantida, the largest financial group in
Honduras, has finished roadshows to market a potential debut US
dollar bond through Oppenheimer. Expected ratings are B/B by S&P
(Reporting by Mike Gambale and Paul Kilby; Editing by Shankar