Brazil

EM bond investors’ hopes of a quiet end to the year were dashed by Brazilian issuers seizing the chance to clinch financing ahead of next year’s presidential elections as four credits from Latin America’s largest economy issued in dollars this week.

Brazil’s largest private sector bank, and probably the most robust lender in the country, jumped on a wave of enthusiasm for Brazilian credit to raise $1.25bn of additional tier one capital on Tuesday.

Two Latin American borrowers look set to price dollar deals on Thursday as issuance volumes in an already record year for the region’s cross-border bond markets get bigger by the day.

Brazilian airline Gol returned to bond markets in style on Wednesday — just 18 months after a distressed debt exchange — as investors bought into the company’s turnaround story.

Meatpacker Minerva sold $500m of long 10 year notes on Tuesday to keep Brazilian high yield supply ticking over on a busy day for LatAm new issuance.

Brazil’s largest private sector bank jumped on strong momentum for Brazilian credits to sell $1.25bn of Basel III-compliant additional tier one bonds on Tuesday.

Brazilian bank BTG Pactual will buy back 30% of its existing perpetual bonds after strong participation by affiliates of the lender that hold the notes.

Brazil’s largest private sector bank Itaú is set to price its first Basel III-compliant hybrid perpetual note on Tuesday after setting initial price thoughts that bankers away from the deal described as “promising” for the borrower.

Brazilian meatpacker Minerva will wrap up investor calls on Tuesday as it plans a deal to finance a tender offer for existing bonds.

Banco Votorantim kicked off a run of issuance from Brazilian banks with a Basel III-compliant additional tier one perpetual non-call five deal on Thursday.

Brazilian utility Cemig on Thursday notched up $1bn of seven year money well inside the expectations of many market participants, as bankers said LatAm funding conditions were as strong as ever.

Brazil’s largest airline, Gol, is set to return to bond markets boasting five consecutive quarters of positive cash generation just a year and half after a distressed debt exchange on which some bondholders took a hefty haircut.