Chile

AES Gener, the Chilean utility, wants to buy back up to $200m of bonds using cash in hand, it said on Wednesday, as the company’s commitment to reducing leverage looks set to save its investment-grade rating.

Factors internal and external to the emerging markets are this week combining to stymie new issuance.

Chile will meet bond investors next week ahead of a proposed local currency issue that will be available to offshore buyers.

Chilean electricity company Enel Chile pounced on improving market conditions to raise $1bn of 10 year bonds on Thursday, after attracting the largest order book for a Lat Am dollar deal in several months.

Chilean electricity company Enel Chile will meet fixed income investors from Friday attempting to find the light at the end of a relatively dark month for Latin American markets.

Chiles’s largest utility by installed capacity and number of clients is looking to become the first Latin American investment-grade company to tap dollar markets since May 3, after announcing investor meetings ahead of a proposed SEC-registered benchmark.

Two prospective bond issuers from Latin America cancelled their fundraising plans this week as external conditions raise borrowing costs for EM issuers.

Chilean state owned lender BancoEstado raised $200m-equivalent of debt in Asian markets this week to reach the half way mark of its $1.6bn medium-term funding needs for the year.

No Latin America companies issued and just one announced bond plans this week as an EM currency slump sent shivers through the market, but investors said the market was far from shut.

Empresas CMPC, the Chilean pulp and paper company, is the ideal company to venture into uncertain bond market waters, syndicate bankers said after the company announced roadshow plans.

Chilean state-owned copper mining company Codelco raised $600m of 30 year money in Taiwan on Monday in the first Formosa trade from a Chilean corporate.

Chilean state-owned copper mining company Codelco raised $600m of 30 year money in Taiwan on Monday in the first Formosa trade from a Chilean corporate.