Primary hosts Ocensa, Shui On Land, BOC Aviation, Tata Motors; Finansbank sees buyers

By Christine Van Dusen

Atlanta, April 30 - Colombia's Oleoducto Central SA (Ocensa), China's Shui On Land Ltd., Singapore's BOC Aviation Pte. Ltd. and India's Tata Motors Ltd. were among the issuers to sell notes on Wednesday as investors examined earnings reports and awaited the Federal Reserve meeting.

"Clearly, the FOMC tonight will be of interest, although consensus is for another $10 billion of tapering," a London-based analyst said. "In the last hour the euro zone consumer price index has come in below expectations at 0.7%, which will raise expectations for quantitative easing."

Bonds from Russia were softer on Wednesday morning amid no major developments in the situation with Ukraine, the London-based analyst said.

Russia's OAO Severstal saw its bonds rally on the tender announcement for the company's 2016s and 2017s, she said.

"But first-quarter results were fairly neutral, overall," she said.

Most bonds from Turkey and its corporates opened on Wednesday unchanged, though the new issue from Turkiye Finans Katilim Bankasi AS managed to stand out.

The Istanbul-based lender recently priced $500 million 6¼% notes due April 30, 2019 at 99.472 to yield 6 3/8%, or mid-swaps plus 458.3 basis points.

Citigroup, HSBC, Morgan Stanley and Standard Chartered Bank were the bookrunners for the Rule 144A and Regulation S deal.

"The new Finansbank deal has seen good buyers, trading up at 100.65," she said.

Looking at Latin America, most names were firm in trading on Wednesday, with some pockets of weakness, a New York-based trader said.

"Sourcing still remains one of the bigger challenges here, as we're not seeing many pockets of profit-taking," he said.

Masisa volumes light

The new issue of 9½% notes that Chile-based Masisa SA priced at par was quoted between 100.15 and 100.35, the New York trader said.

"But volumes and inquiry are light," he said. "Sellers seem to have gone back into their hole, for now."

Meanwhile, banks and other corporates from Colombia traded well on Wednesday while companies from Peru were quiet, he said.

"Their strong bids look quite protected right here," he said.

TAQA sees demand

The new issue of notes from Abu Dhabi National Energy Co. PJSC (TAQA) - $750 million 3 7/8% notes due May 6, 2024 that priced at 99.369 to yield mid-swaps plus 115 bps - brought in a big order book, a trader said.

BofA Merrill Lynch, Mitsubishi UFJ Securities, RBS, Societe Generale CIB and Standard Chartered Bank were the bookrunners for the Rule 144A and Regulation S deal.

"We expect demand for the bond to drive performance, and although prices are trading a little above re-offer, it has been somewhat quiet so far this morning," she said.

MAF ticks up

Dubai-based Majid Al Futtaim Holding LLC's (MAF) new $500 million issue of 4¾% notes due May 7, 2024 traded Wednesday slightly above the reoffer price of 99.835, a trader said.

The notes came to the market at a yield of 4.771%, or mid-swaps plus 195 bps, with Barclays, Credit Agricole, Citigroup, Emirates NBD, HSBC and Standard Chartered Bank.

Deal from BOC

In its new deal, Singapore's BOC Aviation sold $300 million 3 7/8% notes due May 9, 2019 at 99.961 to yield 4.1%, or Treasuries plus 240 bps, a market source said.

BOC International, Citigroup, HSBC, BNP Paribas, DBS Bank, JPMorgan and Morgan Stanley were the bookrunners for the Regulation S deal.

BOC Aviation is a Singapore-based aircraft leasing company.

Ocensa sells bonds

Colombia's Ocensa priced a $500 million issue of 4% notes due May 7, 2021 at 99.367 to yield Treasuries plus 185 bps, a market source said.

The notes were talked in the Treasuries plus 225 bps area.

Citigroup and HSBC were the bookrunners for the Rule 144A and Regulation S deal.

The issuer is a Bogota-based owner and operator of crude oil pipelines and oil terminals.

Shui On does deal

China-based property developer Shui On Land priced a two-tranche issue of $265.92 million notes due May 19, 2018 and 2020 in a Regulation S deal, according to a company filing.

The deal included $178.90 million 8.7% notes due 2018 that priced at par and $87.02 million 9¾% notes due 2020 that priced at par.

Standard Chartered Bank and UBS were the bookrunners for the transaction.

The proceeds will be used for expenses related to exchange and tender offers, to repay indebtedness and to fund capital expenditures.

Issuance from Tata Motors

India's Tata Motors priced $300 million 5¾% notes due May 7, 2021 at par to yield 5¾%, a market source said.

The notes were talked at a yield in the 6% area.

ANZ Banking Group, BofA Merrill Lynch, Citigroup and HSBC were the bookrunners for the Regulation S deal.

Tata Motors is an auto maker based in Mumbai.

Cyprus places notes

Also on Wednesday, Cyprus sold €100 million 6½% notes due in six years in a private placement, according to an announcement from the sovereign.

The proceeds will be used for public debt management purposes, including government financing.

Other details were not immediately available on Wednesday.

Asian investors like Thai deal

About 78% of the orders for Thailand-based Ratchaburi Electricity Generating Holding PCL's new $300 million issue of 3½% notes due May 2, 2019 came from Asia, a market source said.

Another 22% of the orders came from Europe.

The notes priced at 99.973 to yield 3.506%, or Treasuries plus 175 bps, via Standard Chartered Bank in a Regulation S deal.

Fund managers picked up 55%, banks 23%, insurers and sovereign wealth funds 19% and private banks and others 3%.

The proceeds will be used for general corporate purposes, including working capital requirements, capital expenditures, funding investment activities and refinancing debts.

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