Morning Commentary: South Africa’s Eskom on tap; EM markets steady; currencies mixed

By Rebecca Melvin

New York, July 31 – As July closed out on a quiet note on Tuesday, market players were eyeing a proposed dollar bond from South Africa’s Eskom Holdings SOC Ltd., which could price as soon as Wednesday.

The Johannesburg-based state-run utility had talked about potentially two tranches, one guaranteed by the government and a second non-guaranteed tranche, both being sold under a $4 billion medium-term note program. According to market sources both tranches are expected for up to $1.5 billion total.

Barclays, JPMorgan, Standard Bank and ABSA Bank are bookrunners for the Rule 144A and Regulation S deal.

The emerging markets secondary was little changed in the early going, although some currencies were under pressure, including the Turkish lira which crept back up to 4.91 to the U.S. dollar, and was weaker after having improved for much of July.

The Indonesian rupiah was also slightly weaker, although the Argentine peso and Brazilian real were slightly stronger.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.