Mexico

Several Latin American borrowers are lining up bond roadshows, undeterred by the UK’s vote to stay or leave the European Union, to add to the six names already in the visible pipeline.

Mexico sold the largest non-guaranteed Samurai deal for at least 15 years this week, taking advantage of negative rates in Japan to clinch a four tranche bond that was priced well inside its previous deals in the market.

Mexican real estate investment trust Fibra Uno and Colombian state-owned oil company Ecopetrol reopened existing dollar notes on Wednesday to take advantage of euphoric conditions in Lat Am bond markets.

Mexican cement producer Cemex sold €400m of euro denominated bonds on Wednesday as the company’s liability management policy brought it popularity with fixed income investors.

Mexican cement manufacturer Cemex on Wednesday followed in fellow high yield issuer Braas Monier’s tracks with a significant tightening in pricing on its offer.

Mexico is likely to become the first Latin America sovereign to issue a Samurai bond this week after tightening guidance on a three and five year deal.

Mexican real estate company Grupo GICSA is to meet investors this week ahead of a planned $300m debut 144A/Reg S unsecured bond issue.

Brent and WTI oil futures have risen to above $50 for the first time since November and July respectively, amid bullish short term positioning by aggressive managers and supportive supply data this week. But while traders called this a ‘psychological’ level for the commodity, physical markets are still sounding a note of caution.

Mexican hotel operator Grupo Posadas reopened its dollar bonds due 2022 for a further $50m on Monday in a drive-by trade that will be used mainly to refinance the $38m left under its outstanding 2017s.

Mexican cement company Cemex is looking to buy back up to $400m of senior secured bonds, the latest exercise in liability management.

Mexican refrigerated food company Sigma Alimentos sold the first dollar denominated high grade private sector bond from Latin America this year on Monday, taking advantage of low corporate supply to tighten pricing.

Beverage company Femsa became the third Mexican company in a week to sell euro denominated bonds on Monday, jumping on an ECB-driven rally in credit markets to sell €1bn of seven year paper.