Mexico plans first samurai bond sale since 2024

The proposed yen issuance could span six maturities as Mexico faces rating pressure and trade uncertainty.

Mexico is preparing to return to Japan’s Samurai bond market this week for the first time in two years, Bloomberg reported.

The sovereign is considering as many as six yen-denominated tranches with maturities from 3.5 years to 20 years. Pricing is expected on August 28, with some tenors potentially dropped depending on demand and market conditions.

Initial price discussions range from 100 to 200 basis points over TONAR mid-swaps. Mexico last sold ¥152.2 billion ($1.05 billion) across five tranches in August 2024.

The deal comes as Mexico faces pressure on its credit ratings, including a negative outlook from S&P and a downgrade by Moody’s. Trade uncertainty is also rising after the US chose annual reviews instead of renewing the USMCA pact with Canada and Mexico.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

Mexico is preparing to return to Japan’s Samurai bond market this week for the first time in two years, Bloomberg reported.

Initial price discussions range from 100 to 200 basis points over TONAR mid-swaps. Mexico last sold ¥152.2 billion ($1.05 billion) across five tranches in August 2024.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.