Modern Land kicks off roadshow; Mexico, Barbados on deck; Asian market 'underwhelming'

By Aleesia Forni

Virginia Beach, Va., Sept. 23 - The emerging markets bond market was mixed on Monday, following a rush of deals that came to market late last week after the Federal Reserve announced it would continue its bond-buying program.

In the European space, one market source noted that spreads seemed slightly weaker overall.

The session saw details emerge of the recent International Bank of Azerbaijan offering. The bank priced $198 million 7¾% notes due 2018 at par, according to a market source.

A New York-based source noted that for the Asian markets, the session was "somewhat underwhelming."

"Thought today would have seen more activity," he said.

Meanwhile, Modern Land (China) Co., Ltd. kicked off a roadshow on Monday ahead of a possible Regulation S offering.

Bookrunners will be Citigroup Global Markets Ltd., BOCI Asia Ltd. and Industrial and Commercial Bank of China (Asia) Ltd.

One deal during the day came from GS Caltex Corp., though full terms were not available at press time.

In Latin American market news, Mexico announced plans to price 10-year global notes on Monday.

BofA Merrill Lynch, Goldman Sachs & Co. and Morgan Stanley & Co. LLC are the joint lead managers.

Another new deal announcement came from Barbados, which is planning to sell amortizing notes due 2025 in a private placement.

Bank of Azerbaijan new issue

The International Bank of Azerbaijan priced an offering of $198 million of 7¾% notes due Sept. 23, 2018 at par, according to a market source.

J.P. Morgan was the bookrunner.

The government-controlled bank is based in Baku, Azerbaijan.

Mexico plans offering

Mexico was added to the forward calendar on Monday, as the sovereign announced it is planning to price an offering of global notes due 2023, according to a 424B2 filed with the Securities and Exchange Commission on Monday.

BofA Merrill Lynch, Goldman Sachs & Co. and Morgan Stanley & Co. LLC are the joint lead managers.

Mexico plans to use proceeds from the sale for liability management transactions, which may include payment of the purchase price for certain outstanding notes, and for general purposes, including the refinancing, repurchase or retirement of debt.

Barbados

In another deal announcement from that region, Barbados plans to price an offering of amortizing notes due 2025 in a private placement, according to a company press release.

Proceeds will be used to finance a tender offer, to provide budgetary support to finance fiscal operations, to build foreign exchange reserves and to improve the government's external debt maturity.

Modern Land hits road

Modern Land China is also eyeing a new deal. The company said it plans to conduct an international offering of senior notes and will begin a roadshow on Monday to institutional investors.

Citigroup Global Markets Ltd., BOCI Asia Ltd. and Industrial and Commercial Bank of China (Asia) Ltd. will be the joint bookrunners and joint lead managers, with Citigroup as the global coordinator for the Regulation S offering.

Proceeds will be used to fund existing and new property projects and for general corporate purposes.

The property developer is based in Beijing.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.