Issuance from Singapore’s OCBC, Dominican Republic; Lat-Am notes trade; Portugal worries fade

By Christine Van Dusen

Atlanta, July 11 – Singapore’s Oversea-Chinese Banking Corp. Ltd. and the Dominican Republic sold notes on Friday as most of the day’s trading action focused on recent issues from Latin America.

The bonds that Brazil’s Klabin SA sold this week – 5¼% notes due 2024 that priced at par – were stuck below fixed reoffer while Chile-based Colbun SA’s recent 4½% notes due 2024 that priced at 98.615 remained steady, a New York-based trader said.

The 4¼% notes due 2025 that Chile’s Transelec SA sold at 98.982 to yield 178 basis points over Treasuries were spotted at about 177 bps after drifting to about 180 bps on Thursday, he said.

High-grade issues from the region were a bit weak, possibly due to the uptick in supply.

“Many credits seem stuck in the mud or a tad weaker, but consistent selling seen from some real-money accounts earlier in the week was absorbed nicely,” he said.

Also on Friday, roadshows were scheduled for Singapore’s Otto Marine Ltd., Senegal and Taiwan’s Advanced Semiconductor Engineering.

Overall, investor sentiment was a bit better on Friday, as the market finished digesting the news that Portugal’s Banco Espirito Santo’s shares would be delisted.

“During the European morning session today, European assets have retraced much of yesterday’s pessimism,” according to a report from Barclays.

In its new deal, the Dominican Republic priced a $250 million tap of its 7.45% notes due April 30, 2044 at 107.566 to yield 6.85%, a market source said.

Goldman Sachs and JPMorgan were the bookrunners for the Rule 144A and Regulation S deal.

The proceeds will be used for infrastructure projects and to provide economic support to other sectors of the economy.

OCBC prints bonds

Singapore’s Oversea-Chinese Banking priced £235 million 0.55625% floating-rate notes due July 10, 2015 at par to yield 0.55625%, a market source said.

Citigroup was the sole bookrunner for the deal.

The issuer is a financial group based in Singapore.

Otto Marine picks banks

Singapore’s Otto Marine has mandated BNP Paribas, DBS and Oversea-Chinese Banking Corp. Ltd. to lead a roadshow starting July 14, a market source said.

No other details were immediately available on Friday.

Based in Singapore, Otto Marine constructs, charters and leases vessels.

Senegal schedules roadshow

Senegal will set out on Tuesday for a roadshow to market a dollar-denominated issue of benchmark-sized notes, a market source said.

Citigroup, Societe Generale CIB and Standard Chartered Bank are the bookrunners for the Rule 144A and Regulation S deal.

The sovereign previously announced plans for a $500 million issue of 10-year bonds.

Marketing trip for ASE

Taiwan’s Advanced Semiconductor Engineering will embark on a roadshow starting July 15 for a dollar-denominated issue of notes, a market source said.

HSBC, Citigroup and DBS Bank are the bookrunners for the Regulation S deal. HSBC and SEB are joint structuring advisors. HSBC is the sole global coordinator.

The proceeds from the “green” bonds will be credited to a special account that will support the company’s funding for eligible projects, including environmentally certified properties, energy efficiency in manufacturing processes, waste management, water management and green product development.

Advanced Semiconductor Engineering is based in Kaohsiung, Taiwan.

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