Pacific Rubiales in focus; roadshows for Malaysia, Formosa; Kuwait bank, Hikma trade higher

By Christine Van Dusen

Atlanta, April 7 – Investors were paying attention on Tuesday to Latin America-focused Pacific Rubiales Energy Corp. – which announced details for its upcoming investor meetings – and perpetual bonds from the Middle East.

“Expecting to see buyers, with oil up on the day,” a London-based trader said of Pacific Rubiales’ bonds. “The most active bonds today are the 2019s and 2021s, the underperformers yesterday, but prices are mostly unchanged.”

From the Middle East, bonds were fairly busy in trading on Tuesday, with spreads performing, a London-based trader said.

“Active day, spreads tighter,” he said.

Perpetuals were in demand, he said, pointing to the new $700 million issue of 5¾% notes that National Bank of Kuwait priced at par to yield Treasuries plus 411.9 bps.

Some of the higher-yielding bonds from the Middle East caught a bid, a trader said.

The new issue from Jordan’s Hikma Pharmaceuticals plc – $500 million 4¼% notes due in 2020 that priced at 99.471 to yield mid-swaps plus 287.5 bps – traded Tuesday at 101½, he said.

The deal drew about $1.2 billion of orders from 105 investors, a market source said.

In other news, Malaysia was on a roadshow to market an issue of Islamic bonds, a market source said.

And Taiwan’s Formosa Plastics Group has mandated Bank of China, HSBC, ANZ and Mizuho Securities to lead a roadshow for an issue of dollar-denominated notes, a market source said.

© 2015 Prospect News.
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