Kexim, Korea Gas, Mapletree price; People's Leasing taps leads; Access Bank talks notes

By Christine Van Dusen and Aleesia Forni

Atlanta, July 18 - Export Import Bank of Korea (Kexim), Korea Gas Corp. and Singapore's Mapletree Treasury Services Ltd. printed notes on Wednesday as investors digested economic news from the United States.

Federal Reserve Chairman Ben Bernanke made mostly non-committal remarks about the economic picture in the United States but did indicate that the country is not poised to fall into another recession. Meanwhile, the Fed's Beige Book report showed that growth was moderate in June.

"The market opened weaker, with less activity," a New York-based market source said.

Still, emerging markets assets continued their march forward. Several issuers moved ahead on planned deals, including Sri Lanka's People's Leasing Co. plc, Indonesia's PT Kawasan Industri Jababeka Tbk., Development Bank of Kazakhstan, Nigeria's Access Bank plc, South Africa's AngloGold Ashanti and Peru's Corporacion Azucarera del Peru (Coazucar).

In its new deal, Kexim priced RMB 1.75 billion 3¼% notes due 2015 at par via HSBC and Barclays Capital in a Regulation S transaction.

Korea Gas priced a $700 million issue of 2¼% five-year senior unsecured notes at 99.512 to yield 2.354%, or Treasuries plus 175 bps, according to a syndicate source.

The deal priced at the tight end of guidance, which was set between Treasuries plus 175 bps and 180 bps.

Bank of America Merrill Lynch, Citigroup, Goldman Sachs, UBS and Mizuho Securities were bookrunners on the Rule 144A deal.

Mapletree sells notes

In another new deal, Singapore's Mapletree Treasury Services priced a S$600 million issue of 5 1/8% perpetual notes at par to yield 5 1/8%, a market source said.

The notes were talked at a yield in the 5¼% area.

Citigroup, Deutsche Bank and HSBC were the bookrunners for the Regulation S notes, which are non-callable for five years.

The notes are guaranteed by Mapletree Investments Pte. Ltd., a Singapore-based real estate company.

Ukraine notes in demand

The final book for the $2 billion issue of 9¼% notes due 2017 from Ukraine - which priced late Tuesday at par to yield Treasuries plus 863 basis points - was $5.8 billion from 260 investors, according to a statement from the Ukraine Ministry of Finance.

The notes priced tighter than talk, set at 9½% to 9¾%.

JPMorgan, Morgan Stanley, Troika Dialog and VTB Capital were the bookrunners for the Rule 144A and Regulation S deal.

This was the sovereign's largest eurobond, with more than 75% of the loan placed among investors from the United States, United Kingdom and Europe.

Sri Lanka attracts orders

The recent $1 billion 5 7/8% 10-year global senior unsecured bond that Sri Lanka priced at par to yield Treasuries plus 437.1 bps attracted $10.5 billion in orders from 425 accounts, a market source said.

Bank of America Merrill Lynch, Citigroup, HSBC and Barclays Capital were the bookrunners for the Rule 144A and Regulation S deal.

About 44% of the orders came from the United States, 29% from Europe and 27% from Asia.

Funds accounted for 90%, banks 6% and others 4%.

People's Leasing taps leads

Also from Sri Lanka, People's Leasing mandated Barclays Capital and HSBC for a dollar-denominated issue of notes that will be marketed during a roadshow, a market source said.

The marketing trip for the Regulation S deal will take place in Asia and Europe.

People's Leasing is a leasing company and subsidiary of People's Bank.

In other deal-related news, Indonesian developer Kawasan Industri Jababeka set price guidance at 11¾% to 12% for its planned $300 million issue of five-year senior notes, a market source said.

Credit Suisse and Standard Chartered Bank are the bookrunners for the Rule 144A and Regulation S notes, which are non-callable for three years.

Kazakhstan lender plans sukuk

Also on Wednesday, Development Bank of Kazakhstan announced plans to issue up to RM 300 million of Islamic bonds due 2017.

The bonds, via bookrunner JSC Halyk Finance, are expected to yield 5¼% to 5½%.

Bids for the sukuk were accepted through the Kazakhstan Stock Exchange on Wednesday. Settlement is slated for Aug. 3.

The five-year bonds will be issued under the bank's RM 1.5 billion sukuk program established in June.

Access Bank gives guidance

From Africa, Nigerian lender Access Bank set initial price guidance at the low- to mid-7% area for a planned issue of $350 million five-year notes, a market source said.

Citigroup and Goldman Sachs are the bookrunners for the Rule 144A and Regulation S deal, which could price as soon as this week.

Johannesburg-based gold producer AngloGold Ashanti is planning a roadshow that will begin on Thursday and will be led by Barclays Capital and Citigroup.

An issue of Securities and Exchange Commission-registered notes may follow.

Proceeds will be used for funding future acquisitions, working capital, project development or capital expenditure requirements or other general corporate purposes, such as reducing debt.

Coazucar selects leads

Also on Wednesday, Peru's Coazucar mandated Bank of America Merrill Lynch and Citigroup for a dollar-denominated issue of notes, a market source said.

The Rule 144A and Regulation S deal will be marketed during a roadshow from July 19 to 25.

The marketing trip will begin in London and Santiago, Chile, then travel to Zurich, Geneva, Lima, Peru, New York, Miami, Boston and Bogota, Colombia, before concluding in Los Angeles.

Coazucar is part of Grupo Gloria, an agribusiness holding company based in Lima, Peru.

Taking a look at trading activity among Latin American issuers, spreads were as much as 20 bps wider for names like Venezuela and Argentina.

On the corporate side, some small buying was seen for Brazil-based Vale SA's long-dated paper, while Brazil's OGX traded higher.

Marisa Wong contributed to this article.

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