January 17, 2014
In a year of unprecedented appetite for emerging market debt, Latin American corporate borrowers found they could bring down their costs of funds substantially – and, often, push them even a little further.
Mexican beverage and convenience store operator Femsa underscored the strength of that market when it sold a two-tranche, 10 and 30-year $1 billion bond.
The 10-year o ered the lowest-ever coupon for such a tenor from a Latin American borrower, according to BBVA, a lead manager on the deal alongside Citi and Goldman Sachs. Sold in early May, it came shortly before bond markets deteriorated for emerging market borrowers. The timing of the deal, as well as the impressive execution,
A record-low yield from a new issuer highlighted the strength of demand for emerging market paper