Pemex: New bond sale
Pemex eyes $566m bond sale
Mexico's state-run oil giant Pemex plans to issue up to 7.5 billion pesos ($566 million) in three-year and seven-year bonds in the local market on 20 May, according to a bond prospectus.
The three-year bonds will have a variable interest rate based on Mexico's TIIE interbank rate, and the seven-year bonds will have a fixed rate, according to the prospectus.
A syndicate source involved in the deal said Pemex expects to sell at least 5 billion.
Earlier this year Pemex was granted authorisation to issue up to 70 billion in the local market, a Dow Jones Newswire report said.
The company sold 10 billion pesos on 3 April, with maturities ranging from one to six years.
Demand was more than double the amount offered.
Next week's offer is a re-opening of the April bond sale.
Pemex's oil production volumes are in steep decline, and the company is investing heavily in an effort to reverse the trend.
At the end of the first quarter, Pemex had $44.5 billion in debt, including $6.9 billion in peso-denominated debt and $37.6 billion in foreign debt.
Pemex's total liabilities, including labor debts, are much higher at $91 billion.