Pemex calls banks for new revolver

Pemex calls banks for new revolver

Loans Debt Energy Mexico

Mexico's Pemex has asked a handful of banks to present offers for a new $1.5bn revolving credit facility, LatinFinance has heard.

"They are asking banks to compete for the best pricing," said a banker looking to participate in the deal, adding that the state-owned oil company's high debt load and operating difficulties could push the spread higher than its last revolver.

Pemex got a three-year, $1.5bn facility from 21 banks in November 2016. The bookrunners Bank of America Merrill Lynch, Citi, Crédit Agricole, HSBC, Mizuho and SMBC priced the loan at 185bp over Libor, or 105bp higher than the revolver that Pemex received in 2013.

The banker did not say when Pemex will pick the bookrunners for the new loan.

The oil company pitched a possible bond sale to investors in New York earlier this month, but it has not yet followed the government to the cross-border market.