December 4, 2008
Mexico’s state-run lender Instituto Fonacot aims to sell MXP2.1bn in 2010 b
Mexico’s state-run lender Instituto Fonacot aims to sell MXP2.1bn in 2010 bonds backed by consumer loans as soon as next week. The bonds will pay a spread over 28-day TIIE and proceeds will strengthen Fonacot’s lending capabilities. Scotia is managing the sale, the second from a program allowing securitization of loans made to Mexican workers to purchase consumer goods such as appliances. In February, Fonacot priced MXP2bn in 2011 bonds at TIIE plus 3bp.