In September 2002, Mexico issued a $1.75 billion, 20-year
global bond to exchange a batch of outstanding Brady bonds and
raise new money. The government convinced investors to exchange
$1.3 billion of par Brady bonds, which are collateralized by US
Treasury bonds, and then sold an additional $450 million of the
new global issue. The deftly executed private exchange that
resulted in the year's largest bond issue reinforced Mexico's
skill in managing its debt and wins LatinFinance's liability
management deal of the year award.
Robert Kay, managing director of emerging market syndication
at Credit Suisse First Boston, one of the deal's lead managers,
says crossover investors quickly picked up the new bonds,
hungry for alternatives to scandal-ridden US corporate bonds.
The bond priced at 97.248 with an...
Already have an account?
Subscribe now for unlimited access to all current and archive news, data and market analysis.
Take a free two-week trial now for the latest news, data and market analysis.