Mexican telco America Movil (AMX) has priced Ps17.5bn (US$1.35bn) notes split across two tranches, which it will use to refinance existing debt.
It is issuing Ps10bn (US$774m) 6% five-year senior notes which priced at 99.82 to yield 6.04%, 125bps above…
Mexican telco America Movil (AMX) has priced Ps17.5bn (US$1.35bn) notes split across two tranches, which it will use to refinance existing debt.
It is issuing Ps10bn (US$774m) 6% five-year senior notes which priced at 99.82 to yield 6.04%, 125bps above the Mexican government’s benchmark 4.75% bond due 2018.
A further Ps7.5bn (US$580m) in 7.125% 10-year notes priced at 99.73, 125bps above the Mexican government’s 10% bond due 2024.
Deutsche Bank, HSBC, Morgan Stanley, BBVA, Citigroup and Credit Suisse are joint bookrunning managers on both series of the Mexican peso-denominated notes.
AMX expects the two tranches to be rated A2, A- and A by Moody’s, S&P and Fitch respectively, and the deals are set to close on 9 June.
The Latin American giant intends to use the net proceeds from the sale for general corporate purposes, which it said may include the refinancing of outstanding indebtedness.
It’s the operator’s second significant bond placement in the past week. At the end of May it priced a €600m (US$817m) eurobond.
