BRAZIL-JBS-SWIFT.
Brazil’s JBS S.A. (JBSS3.BR), which controls leading
beef exporter Friboi, is planning to raise $400 million from an overseas bond
issue, a person familiar with the issue said Tuesday.
The bonds will mature in 5 years and will be issued through the company’s
international subsidiary JBS USA , the person said.
JPMorgan and Bank of America are coordinating the operation, according to the
person.
The company will begin a road show for potential bond investors later Tuesday
and it is expecting to set a price for bonds next week.
JBS will use the proceeds to repay inter-company debt and other corporate
purposes.
This is one of the first bond issues by a Brazilian company this year amid
the current credit crisis.
Earlier this month, Brazilian construction conglomerate Norberto Odebrecht
raised $200 million from an overseas bond issue. The bonds will mature in April
2014 paying an annual yield of 10%.
In February, state run oil company Petrobras (PBR) raised $1.5 billion via
10-year bonds.