NEW YORK, March 10 (IFR) - Orders for the six-part dollar
bond offering from state-controlled Brazilian oil company
Petrobras have reached USD12bn, according to market sources.
News of the deal on Monday sent Brazilian corporate bond
spreads wider ahead of what is expected to be a jumbo deal, and
potentially a record size issue, for the company.
Petrobras' bond spreads also widened by about 15bp across
the curve in response to the offering, comprising of three-year
fixed and floating rate bonds, a six-year floater and fixed, as
well as fixed-rated 10- and 30-year tranches.
Initial price thoughts have been set at Treasuries plus
260bp, 3-month Libor plus 246bp, Treasuries plus 340bp, 3-month
Libor plus 298bp, Treasuries plus 360bp and Treasuries plus
370bp, respectively, by leads HSBC, JP Morgan, Citi, Bank of
China, BB Securities and BBI.
The senior secured SEC-registered notes are expected to be
rated Baa1 by Moody's and BBB by S&P and Fitch. All three have