Pemex to Place US$500mn Bonds Friday
Mexico's state oil company Pemex will place US$500mn bonds on Friday, a source connected to the process told BNamericas. The bonds will be added into an existing US$500mn global medium-term note issue by Pemex Master Trust that matures in February 2022 and yields 8.625% interest, and will carry the same terms and conditions as the original issue, the source said. Meanwhile, "most" holders of US$600mn, 6.50% Pemex notes agreed to exchange them for new ones by the Monday deadline, the source said. Investors who for whatever reason missed exchange deadlines in the past have been able to exchange papers under the terms of private "mini-exchanges," but authorities at the Luxembourg Stock Exchange, where the papers are traded, have requested that Pemex cuts back on this kind of deal in the future, the source said. Pemex Master Trust is offering investors the chance to exchange a number of existing papers for new ones with the same terms and conditions by March 25. The notes are US$750mn at 8% due 2011, US$1bn at 7.875% due 2009, US$500mn at 8.625% due 2022 and US$1bn at 7.375% due 2014.
About Business News Americas: Business News Americas is a multilingual news and business information service that covers the most important original stories in 11 different business sectors throughout Latin America everyday. Visit BNamericas to access our real-time news reports, 7-year archive, Fact File company database, and latest research reports.
Click here for a Free two week trial to our Latin America Oil & Gas information service.