DISCLAIMERS PERTINENTES A ESTE RELATÓRIO INICIAM NA PÁGINA 11
Banco BTG Pactual S.A. mantém, ou tem a intenção de manter, relações comerciais com a(s) companhia(s) coberta(s) neste relatório. Por esta razão, investidores devem estar cientes de eventuais conflitos de interesse que potencialmente possam afetar os objetivos deste relatório. Investidores devem considerar este relatório apenas como mais um fator no processo de tomada de decisão de seus
investimentos. Qualquer Cidadão Norte-Americano Especificado como US Person(USP) que receber este relatório e desejar realizar uma operação com valores mobiliários analisados neste relatório, deverão fazê-lo com o BTG Pactual US Capital, LLC - 212-293-4600, 601 Lexington Avenue. 57º andar, Nova York NY 10022.
Matheus Chermauth
Brazil – Banco BTG Pactual S.A.
matheus.chermauth@btgpactual.com
+55 11 3383 2338
Thomas Tenyi, CFA
New York – BTG Pactual US Capital LLC
thomas.tenyi@btgpactual.com
+1 646 924 2477
Beatriz Watanabe
Brazil – Banco BTG Pactual S.A.
beatriz.watanabe@btgpactual.com
+55 11 3383-3224
Highlights of the week
Local corporate debt market
VLI Operações Portuárias: the company issued R$175mn in debentures (CVM#476)
via a single series, featuring a yield of IPCA+6.05% and a 5-year bullet maturity. The
issuance, which complies with Law 12,431 (featuring tax incentives for foreign and
retail investors), received an AA+(bra) rating from Fitch.
Monsanto: the company is preparing the issuance of R$315mn in agricultural
receivables certificates (CVM#400), yielding up to 100.5% of the DI rate and featuring
a 3-year bullet maturity.
Secondary debentures market
Trading volume in the secondary debentures market in the period August 18 – August
24 totaled R$422.1mn (vs. R$406.1mn in the previous week), with 118 assets traded.
The main weekly highlights were BPAR16 – Bradespar (R$22.4mn traded at 105.61%
of the DI rate, with curve of 105.50% of DI), RDVT11 – Concessionária Rodovias do
Tietê (R$10.97mn traded at IPCA+8.21%, with curve of IPCA+8.00%) and CMDT23 –
Cemig Distribuição (R$10.56mn traded at IPCA+11.29%, with curve of IPCA+4.70%).
YTD trading volume in the secondary debentures market now stands at R$22.43bn
(daily average of R$138.46mn).
[Text]
FixedIncome
26 August 2016
Credit Market Update
Table 1: Trades in Brazilian secondary debentures market*
Source: ANBIMA, Rating Agency. *Trade rate considers MID Price. ** Leasing debentures are not considered in the secondary market debentures.
Trades in secondary debentures market Aug-16
Ratings Date Issuer Security
Code Amount Number of trades % Face Value Volume (BRL mn) Trade rate (%) Benchmark Duration (Years) Issuance rate (%)
brBBB- 18-Aug-16 AES Sul AESL43 230 2 102.27 2.026 ND DI+ ND 4.75 brBBB- 18-Aug-16 AES Sul AESS12 655 9 102.14 6.472 ND DI+ ND 1.25 brAA- 18-Aug-16 Ampla AMPL26 100 3 99.06 0.953 8.70 IPCA+ 1.3 7.9 brAA- 18-Aug-16 BNDESPar BNDP36 757 3 97.70 1.025 6.35 IPCA+ 2.6 5.4 brAA- 18-Aug-16 BNDESPar BNDS35 649 1 99.92 0.999 6.45 IPCA+ 0.4 6.2991 AAA(bra) 18-Aug-16 Bradespar BPAR16 1,918 22 99.98 22.419 105.61 %DI 1.9 105.5
brAA- 18-Aug-16 CCR CCRD27 176 4 99.99 1.848 107.35 %DI 0.2 107.05 AAA(bra) 18-Aug-16 Cielo CIEL14 74 2 100.31 0.520 103.37 %DI 1.0 105.8
brA 18-Aug-16 Cemig Distribuição CMDT23 5,100 46 81.95 5.559 11.47 IPCA+ 3.1 4.7 brA 18-Aug-16 Cemig Distribuição CMDT33 520 1 71.53 0.496 11.44 IPCA+ 5.6 5.1 brA 18-Aug-16 Cemig Geração e Transmissão CMTR15 54 3 95.30 0.570 4.95 DI+ 1.5 1.7 AA+(bra) 18-Aug-16 Copel G&T CPGT11 29 1 99.20 0.299 116.00 %DI 2.3 113 - 18-Aug-16 Casadoce CSDC13 1 1 100.00 0.084 130.00 %DI 1.3 130
- 18-Aug-16 CETIP CTIP12 32 2 99.82 0.340 ND %DI ND 106.65
brAA- 18-Aug-16 Diagnósticos da América DASA14 28 4 98.99 0.291 1.86 DI+ 1.4 1.15 A2.br 18-Aug-16 Ecorodovias Infraestrutura e Logística ECOR21 34 2 98.19 0.351 2.16 DI+ 2.5 1.42 brAA- 18-Aug-16 Energisa ENGI25 52 5 104.78 0.745 8.37 IPCA+ 2.2 9.23 brAA+ 18-Aug-16 Localiza LORT18 178 6 99.31 1.885 111.71 %DI 2.7 109.5 - 18-Aug-16 MTEL Tecnologia MTEL15 110 1 99.35 1.129 ND %DI ND 130 brAAA 18-Aug-16 Natura Cosméticos NATU36 240 4 99.65 2.544 110.10 %DI 2.8 109 brAA- 18-Aug-16 Rodovias das Colinas RDCO14 30 2 98.78 0.246 ND DI+ ND 1.5 A2.br 18-Aug-16 ViaLagos RDLA13 3,150 7 100.42 3.347 ND %DI ND 118 brAAA 18-Aug-16 Raízen Energia S.A. RESA21 60 2 99.83 0.063 1.03 DI+ 1.8 0.94 brAA- 18-Aug-16 TAESA TAEE33 412 10 88.37 0.507 7.50 IPCA+ 5.4 5.1 A-(bra) 18-Aug-16 Triunfo TPIS24 1 1 88.08 0.013 34.50 IPCA+ 0.6 8.5 brAA- 18-Aug-16 Triângulo do Sol TSAE12 30 2 100.32 0.232 ND DI+ ND 2.25 Aa1.br 18-Aug-16 ViaOeste VOES15 150 2 99.90 0.769 ND %DI ND 106.1 brBBB- 19-Aug-16 AES Sul AESL43 294 4 102.42 2.596 ND DI+ ND 4.75 brAA- 19-Aug-16 BNDESPar BNDP36 194 2 97.59 0.263 6.40 IPCA+ 2.6 5.4
brA 19-Aug-16 BR Properties BRPR11 28,000 12 99.52 14.131 ND DI+ ND 1.08 brA 19-Aug-16 BR Properties BRPR21 6,260 2 93.86 8.009 ND IPCA+ ND 5.85 brA 19-Aug-16 Cemig Distribuição CMDT23 469 37 83.99 0.524 10.60 IPCA+ 3.1 4.7 brA 19-Aug-16 Cemig Geração e Transmissão CMTR23 1,348 4 93.26 1.787 10.05 IPCA+ 1.8 6 brA 19-Aug-16 Cemig Geração e Transmissão CMTR33 200 2 85.02 0.242 10.74 IPCA+ 3.8 6.2 Aa2.br 19-Aug-16 Intervias S.A. CRIP13 66 3 99.23 0.694 1.90 DI+ 1.0 1.09
brA- 19-Aug-16 Eletropaulo ELSPA5 102 3 96.73 1.040 4.72 DI+ 1.0 1.24 brAA- 19-Aug-16 Comgas GASP13 548 2 99.92 0.582 0.95 DI+ 1.7 0.9 brAA+ 19-Aug-16 Iguatemi Shopping Centers IGTA13 200 2 100.23 2.021 0.74 DI+ 0.9 1 Baa3.br 19-Aug-16 Mills Estr. e Serviços de Eng. MILS12 24 1 95.85 0.115 5.50 DI+ 0.9 0.88
- 19-Aug-16 Mata de Santa Genebra Transmissão MSGT31 5,000 3 100.00 54.351 ND DI+ ND 1.65 brAAA 19-Aug-16 Natura Cosméticos NATU36 48 2 100.00 0.511 109.00 %DI 2.8 109 brAA- 19-Aug-16 Arteris OHLB12 230 2 100.03 2.441 ND DI+ ND 1.28 brAA+ 19-Aug-16 Sabesp SBESC7 46 2 84.78 0.525 8.49 IPCA+ 4.7 4.75 brAA- 19-Aug-16 TAESA TAEE23 39 1 90.87 0.049 8.45 IPCA+ 2.8 4.85 brAA- 19-Aug-16 TAESA TAEE33 738 18 88.62 0.911 7.45 IPCA+ 5.4 5.1 Aaa.br 19-Aug-16 Telefonica Brasil S/A TFBR14 400 2 99.50 4.167 1.02 DI+ 1.5 0.68
brAA- 19-Aug-16 Triângulo do Sol TSAE22 20 2 93.46 0.206 9.38 IPCA+ 1.8 5.4 brAA- 22-Aug-16 BNDESPar BNDP36 650 3 97.24 0.877 6.55 IPCA+ 2.6 5.4 A3.br 22-Aug-16 Conc. Rota das Bandeiras CBAN11 4 2 102.18 0.060 ND IPCA+ ND 9.57 brAA- 22-Aug-16 CCR CCRD18 114 8 102.02 1.200 115.30 %DI 2.0 124.1 - 22-Aug-16 CEB Distribuição CEBD11 2 2 100.00 0.188 6.80 DI+ 1.5 6.8 brA 22-Aug-16 Cemig Distribuição CMDT23 975 41 83.01 1.077 11.03 IPCA+ 3.1 4.7 brAA 22-Aug-16 Cia Paulista de Securitização CPSC13 42 2 100.00 0.314 ND DI+ ND 2.5 brAA+ 22-Aug-16 Localiza LORT10 200 2 100.63 2.050 112.10 %DI 3.1 113.9 brAAA 22-Aug-16 Natura Cosméticos NATU16 570 2 99.92 6.058 107.47 %DI 1.4 107 brAAA 22-Aug-16 Natura Cosméticos NATU36 141 3 99.94 1.501 109.18 %DI 2.8 109 brAA+ 22-Aug-16 Sabesp SBESC7 30 2 82.70 0.334 9.08 IPCA+ 4.6 4.75 brAA- 22-Aug-16 TAESA TAEE23 78 2 91.50 0.099 8.19 IPCA+ 2.8 4.85 brAA- 22-Aug-16 TAESA TAEE33 2,462 19 85.88 2.947 8.08 IPCA+ 5.4 5.1 Baa3.br 22-Aug-16 TEGMA TGMA21 208 16 96.00 2.002 4.10 DI+ 1.3 0.97
Aa1.br 22-Aug-16 ViaOeste VOES15 64 2 99.92 0.328 ND %DI ND 106.1 brA 23-Aug-16 BR Properties BRPR21 2,340 13 94.15 3.006 ND IPCA+ ND 5.85
Table 2: Trades in Brazilian secondary debentures market
Source: ANBIMA, Rating Agency. *Trade rate considers MID Price. ** Leasing debentures are not considered in the secondary market debentures.
Table 3: Trades in Brazilian secondary debentures market – Infra Debentures*
Source: ANBIMA, Rating Agency. *Trade rate considers MID Price. ** Leasing debentures are not considered in the secondary market debentures.
Trades in secondary debentures market Aug-16
Ratings Date Issuer Security
Code Amount Number of trades % Face Value Volume (BRL mn) Trade rate (%) Benchmark Duration (Years) Issuance rate (%)
brAA- 23-Aug-16 CCR CCRD18 48 1 102.01 0.506 115.32 %DI 2.0 124.1 AAA(bra) 23-Aug-16 Cielo CIEL14 100 2 100.25 0.703 103.80 %DI 1.0 105.8 brA 23-Aug-16 Cemig Distribuição CMDT23 2,681 39 82.43 2.943 11.28 IPCA+ 3.1 4.7 brAA 23-Aug-16 Cia Paulista de Securitização CPSC13 374 6 99.49 2.781 ND DI+ ND 2.5
brAAA 23-Aug-16 Vale CVRDA6 2,154 12 ND 0.011 ND ND ND ND
Baa3.br 23-Aug-16 Mills Estr. e Serviços de Eng. MILS12 332 2 95.93 1.598 5.45 DI+ 0.9 0.88 AA-(bra) 23-Aug-16 Empreendimentos Pague Menos PGMN12 1,850 3 100.00 9.497 1.20 DI+ 0.8 1.2 AA-(bra) 23-Aug-16 Empreendimentos Pague Menos PGMN13 2,000 2 100.00 17.200 ND DI+ ND 1.5 brAA+ 23-Aug-16 Sabesp SBESA7 12 2 99.37 0.081 1.50 DI+ 0.8 0.75 brAA+ 23-Aug-16 Sabesp SBESB7 72 2 89.50 0.867 8.96 IPCA+ 2.7 4.5
brA+ 23-Aug-16 Santos Brasil SBPA13 140 6 100.52 1.420 ND DI+ ND 1.4 brAA- 23-Aug-16 TAESA TAEE33 1,800 21 88.16 2.213 7.55 IPCA+ 5.4 5.1 - 23-Aug-16 BR Towers SPE1 S.A. TOWE12 20 2 ND 0.212 9.20 IPCA+ 3.3 7.4 A-(bra) 23-Aug-16 Triunfo TPIS14 200 2 98.78 1.392 ND DI+ ND 2.2 A-(bra) 23-Aug-16 Triunfo TPIS24 2 2 81.99 0.024 ND IPCA+ ND 8.5 brAA- 23-Aug-16 Triângulo do Sol TSAE22 178 3 94.23 1.847 8.89 IPCA+ 1.8 5.4 brAA- 24-Aug-16 Algar Telecom ALGA13 6,000 1 99.13 62.724 ND DI+ ND 1.5 brAA- 24-Aug-16 BNDESPar BNDP36 1,710 3 97.07 2.305 6.62 IPCA+ 2.5 5.4 brAA- 24-Aug-16 CCR CCRD18 48 2 102.02 0.506 115.27 %DI 2.0 124.1
brA 24-Aug-16 Cemig Distribuição CMDT23 400 26 84.28 0.449 10.50 IPCA+ 3.1 4.7 brA 24-Aug-16 Cemig Distribuição CMDT33 1,040 2 71.71 0.996 11.40 IPCA+ 5.6 5.1 brA 24-Aug-16 Cemig Geração e Transmissão CMTR15 400 2 95.72 4.251 4.68 DI+ 1.5 1.7 - 24-Aug-16 Casadoce CSDC13 2 2 100.00 0.169 130.00 %DI 1.3 130 brA- 24-Aug-16 Eletropaulo ELSPA5 49 1 96.71 0.500 4.78 DI+ 1.0 1.24 AA-(bra) 24-Aug-16 Lojas Americanas LAME29 20 2 101.64 0.208 107.85 %DI 2.8 113 Baa3.br 24-Aug-16 Mills Estr. e Serviços de Eng. MILS12 22 4 96.70 0.107 4.57 DI+ 0.9 0.88
- 24-Aug-16 M.Invest MINV11 42 2 ND 0.536 ND IPCA+ ND 9
- 24-Aug-16 MTEL Tecnologia MTEL15 8 2 99.34 0.082 ND %DI ND 130 brAAA 24-Aug-16 Raízen Energia S.A. RESA11 500 1 100.13 0.527 0.80 DI+ 1.4 0.89 brAA- 24-Aug-16 TAESA TAEE33 630 15 87.50 0.769 7.70 IPCA+ 5.4 5.1 A-(bra) 24-Aug-16 Triunfo TPIS24 1 1 81.95 0.012 ND IPCA+ ND 8.5
Trades in secondary debentures market Aug-16
Ratings Date Issuer Security
Code Amount Number of trades % Face Value Volume (BRL mn) Trade rate (%) Benchmark Duration (Years) Issuance rate (%)
BBB(bra) 18-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU12 150 15 91.35 0.170 8.20 IPCA+ 5.3 6.4 BBB(bra) 18-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU41 16 2 93.67 0.019 9.37 IPCA+ 4.7 7.86
brA- 18-Aug-16 Concessionária Auto Raposo Tavares CART12 520 4 94.72 0.670 6.83 IPCA+ 5.4 5.8 - 18-Aug-16 Chapada do Piauí I CHPA11 100 2 110.20 1.310 ND IPCA+ ND 9.223 - 18-Aug-16 Copel Telecomunicações CTEL11 520 9 106.53 6.101 ND IPCA+ ND 7.9633 brAA- 18-Aug-16 Ecovias ECOV22 108 4 92.60 0.130 5.67 IPCA+ 5.8 4.28 A1.br 18-Aug-16 EDP - Energias Do Brasil ENBR15 71 7 108.65 0.814 ND IPCA+ ND 8.3479 AA+(bra) 18-Aug-16 Ferreira Gomes Energia FGEN13 569 13 ND 0.757 ND IPCA+ ND 6.4686 brAA- 18-Aug-16 MRS Logística MRSL17 400 1 100.32 0.475 5.90 IPCA+ 4.3 5.9828 brA+ 18-Aug-16 NC Energia NCEN11 1,760 4 107.40 2.187 ND IPCA+ ND 7.891 brB- 18-Aug-16 Norte Brasil Transmissora de Energia NRTB11 46 4 95.31 0.057 8.13 IPCA+ 5.2 7.15 brB- 18-Aug-16 Norte Brasil Transmissora de Energia NRTB21 46 4 95.31 0.068 ND IPCA+ ND 7.15 A2.br 18-Aug-16 ViaLagos RDLA12 16 2 105.32 0.018 5.73 IPCA+ 3.4 7.34 brAA- 18-Aug-16 Rodonorte RDNT14 8 2 100.65 0.097 5.45 IPCA+ 2.9 5.691 Baa2.br 18-Aug-16 Concessionária Rodovias do Tietê RDVT11 581 24 97.74 0.733 8.43 IPCA+ 5.7 8
brAAA 18-Aug-16 Raízen Energia S.A. RESA31 64 4 97.57 0.083 7.20 IPCA+ 3.2 6.38 Aa2.br 18-Aug-16 Rodovias Integradas do Oeste RVIO14 600 2 100.23 0.686 6.30 IPCA+ 3.2 6.38 - 18-Aug-16 Santo Antônio Energia SAES12 4 3 89.81 0.478 ND IPCA+ ND 6.2 - 18-Aug-16 Salus Infraestrutura Portuária SAIP11 538 22 ND 0.658 ND IPCA+ ND 6.7879 A+(bra) 18-Aug-16 Supervia SPVI12 20 4 92.72 0.223 ND IPCA+ ND 7.5 brBBB- 18-Aug-16 Santo Antônio Energia STEN13 74 5 93.73 0.860 8.78 IPCA+ 4.0 7.0537 brBBB- 18-Aug-16 Santo Antônio Energia STEN23 110 23 96.93 1.323 8.14 IPCA+ 5.2 7.4943 AAA(bra) 18-Aug-16 Tractebel Energia TBLE15 112 4 106.84 0.146 5.10 IPCA+ 5.9 6.3
Aa1.br 18-Aug-16 AES Tietê TIET34 274 8 110.77 0.326 5.45 IPCA+ 3.7 8.4328 AA(bra) 18-Aug-16 Ventos de São Tomé Holding TOME12 76 2 107.90 0.099 ND IPCA+ ND 8.8593
Table 4: Trades in Brazilian secondary debentures market – Infra Debentures*
Source: ANBIMA, Rating Agency. *Trade rate considers MID Price. ** Leasing debentures are not considered in the secondary market debentures.
Trades in secondary debentures market Aug-16
Ratings Date Issuer Security
Code Amount Number of trades % Face Value Volume (BRL mn) Trade rate (%) Benchmark Duration (Years) Issuance rate (%)
brAAA 18-Aug-16 Vale VALE18 4 2 102.31 0.005 5.75 IPCA+ 3.4 6.46 brAAA 18-Aug-16 Vale VALE19 224 4 103.36 0.252 5.65 IPCA+ 3.6 6.6232 brAAA 18-Aug-16 Vale VALE28 22 4 104.24 0.029 5.72 IPCA+ 5.2 6.57 brAAA 18-Aug-16 Vale VALE29 1,102 19 104.73 1.254 5.66 IPCA+ 5.1 6.6252 brAAA 18-Aug-16 Vale VALE48 257 5 109.33 0.359 5.47 IPCA+ 7.3 6.78 AA+(bra) 18-Aug-16 VLI Multimodal VLIM11 439 6 104.99 0.515 5.37 IPCA+ 3.4 6.8839
AA(bra) 18-Aug-16 Ventos de São Tito Holdings VNTT11 165 6 108.29 0.201 ND IPCA+ ND 9.236 BBB(bra) 19-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU11 275 3 93.00 0.325 9.70 IPCA+ 4.2 7.86 BBB(bra) 19-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU12 322 19 88.14 0.353 8.94 IPCA+ 5.3 6.4 BBB(bra) 19-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU41 94 3 93.85 0.114 9.33 IPCA+ 4.7 7.86
brAA- 19-Aug-16 AutoBan ANHB15 96 2 98.18 0.121 5.82 IPCA+ 2.0 4.88 brAA- 19-Aug-16 AutoBan ANHB24 500 2 ND 0.652 5.67 IPCA+ 1.1 2.71 brAA- 19-Aug-16 Ecovias ECOV12 12 1 94.87 0.015 5.65 IPCA+ 3.0 3.8 brAA- 19-Aug-16 Ecovias ECOV22 2,700 4 92.78 3.267 5.64 IPCA+ 5.8 4.28 A1.br 19-Aug-16 EDP - Energias Do Brasil ENBR15 95 11 108.90 1.092 ND IPCA+ ND 8.3479 AA+(bra) 19-Aug-16 Ferreira Gomes Energia FGEN13 120 10 ND 0.161 ND IPCA+ ND 6.4686 brAA- 19-Aug-16 Comgas GASP14 380 3 105.51 0.444 5.60 IPCA+ 3.7 7.1432 brAA- 19-Aug-16 Comgas GASP24 832 2 107.92 0.996 5.75 IPCA+ 4.7 7.482 brAA- 19-Aug-16 MRS Logística MRSL17 122 2 101.53 0.147 5.60 IPCA+ 4.3 5.9828
brA+ 19-Aug-16 NC Energia NCEN11 879 4 107.80 1.097 ND IPCA+ ND 7.891 A-(bra) 19-Aug-16 Odebrecht Transport ODTR11 5 1 91.65 0.061 8.10 IPCA+ 6.6 6.7
A2.br 19-Aug-16 ViaLagos RDLA12 154 2 105.52 0.178 5.67 IPCA+ 3.4 7.34 brAA- 19-Aug-16 Rodonorte RDNT14 16 1 98.61 0.190 6.20 IPCA+ 2.9 5.691 Baa2.br 19-Aug-16 Concessionária Rodovias do Tietê RDVT11 1,968 37 99.06 2.518 8.18 IPCA+ 5.7 8
Aa2.br 19-Aug-16 Rodovias Integradas do Oeste RVIO14 72 2 101.69 0.084 5.82 IPCA+ 3.2 6.38 - 19-Aug-16 Salus Infraestrutura Portuária SAIP11 711 25 ND 0.875 ND IPCA+ ND 6.7879 A+(bra) 19-Aug-16 Supervia SPVI12 16 5 94.59 0.182 ND IPCA+ ND 7.5 brBBB- 19-Aug-16 Santo Antônio Energia STEN13 2 1 94.94 0.024 8.44 IPCA+ 4.0 7.0537 brBBB- 19-Aug-16 Santo Antônio Energia STEN23 10 4 97.26 0.121 8.07 IPCA+ 5.2 7.4943 AAA(bra) 19-Aug-16 Tractebel Energia TBLE15 132 4 106.39 0.172 5.17 IPCA+ 5.9 6.3
A-(bra) 19-Aug-16 Termeletrica Pernambuco III TEPE11 204 2 46.22 0.089 ND IPCA+ ND 9.11 A-(bra) 19-Aug-16 Termeletrica Pernambuco III TEPE21 204 2 44.50 0.107 ND IPCA+ ND 9.11 A-(bra) 19-Aug-16 Termeletrica Pernambuco III TEPE31 204 2 41.71 0.098 ND IPCA+ ND 9.11 A-(bra) 19-Aug-16 Termeletrica Pernambuco III TEPE41 204 2 38.95 0.089 ND IPCA+ ND 9.11 Aa1.br 19-Aug-16 AES Tietê TIET34 76 9 111.62 0.091 5.23 IPCA+ 3.7 8.4328
- 19-Aug-16 Transmissora Sul Brasileira de Energia TSBE12 160 2 97.25 0.210 ND IPCA+ ND 6.8 brAAA 19-Aug-16 Vale VALE19 3,112 9 104.45 3.534 5.34 IPCA+ 3.6 6.6232 brAAA 19-Aug-16 Vale VALE29 720 16 104.30 0.816 5.75 IPCA+ 5.1 6.6252 AA+(bra) 19-Aug-16 VLI Multimodal VLIM11 170 2 104.80 0.199 5.42 IPCA+ 3.4 6.8839 AA(bra) 19-Aug-16 Ventos de São Tito Holdings VNTT11 107 8 113.97 0.137 ND IPCA+ ND 9.236 BBB(bra) 22-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU11 10 2 93.44 0.012 9.58 IPCA+ 4.2 7.86 BBB(bra) 22-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU12 604 17 87.85 0.660 9.01 IPCA+ 5.3 6.4
brAA- 22-Aug-16 AutoBan ANHB16 98 2 99.03 0.117 5.77 IPCA+ 2.9 5.428 brAA- 22-Aug-16 AutoBan ANHB24 500 2 ND 0.653 5.66 IPCA+ 1.1 2.71 - 22-Aug-16 Copel Telecomunicações CTEL11 66 4 109.11 0.794 ND IPCA+ ND 7.9633 AA+(bra) 22-Aug-16 Ferreira Gomes Energia FGEN13 122 8 ND 0.165 ND IPCA+ ND 6.4686 brAA- 22-Aug-16 Comgas GASP14 550 2 105.73 0.644 5.54 IPCA+ 3.7 7.1432 - 22-Aug-16 Interligação Eletrica do Madeira S/A IEMD12 54 6 89.23 0.669 ND IPCA+ ND 5.5 brAA- 22-Aug-16 MRS Logística MRSL17 287 1 102.67 0.349 5.33 IPCA+ 4.3 5.9828 brAA- 22-Aug-16 MRS Logística MRSL27 408 3 103.86 0.503 5.75 IPCA+ 6.0 6.4277 A2.br 22-Aug-16 ViaLagos RDLA12 686 4 105.60 0.795 5.64 IPCA+ 3.4 7.34 brAA- 22-Aug-16 Rodonorte RDNT14 13 1 100.11 0.157 5.64 IPCA+ 2.9 5.691 Baa2.br 22-Aug-16 Concessionária Rodovias do Tietê RDVT11 1,377 13 98.00 1.744 8.38 IPCA+ 5.7 8
Aa2.br 22-Aug-16 Rodovias Integradas do Oeste RVIO14 213 1 102.44 0.249 5.58 IPCA+ 3.2 6.38 - 22-Aug-16 Salus Infraestrutura Portuária SAIP11 569 15 ND 0.696 ND IPCA+ ND 6.7879 A+(bra) 22-Aug-16 Supervia SPVI12 10 2 92.81 0.112 9.18 IPCA+ 4.7 7.5 brBBB- 22-Aug-16 Santo Antônio Energia STEN23 12 4 95.59 0.142 8.44 IPCA+ 5.1 7.4943
Aa1.br 22-Aug-16 AES Tietê TIET34 82 2 112.10 0.099 5.10 IPCA+ 3.7 8.4328 brAAA 22-Aug-16 Vale VALE29 448 14 107.52 0.524 5.12 IPCA+ 5.1 6.6252 brAAA 22-Aug-16 Vale VALE48 20 2 107.60 0.028 5.70 IPCA+ 7.3 6.78 AA+(bra) 22-Aug-16 VLI Multimodal VLIM11 1,279 2 104.67 1.497 5.46 IPCA+ 3.4 6.8839
Table 5: Trades in Brazilian secondary debentures market – Infra Debentures*
Source: ANBIMA, Rating Agency. *Trade rate considers MID Price. ** Leasing debentures are not considered in the secondary market debentures.
Trades in secondary debentures market Aug-16
Ratings Date Issuer Security
Code Amount Number of trades % Face Value Volume (BRL mn) Trade rate (%) Benchmark Duration (Years) Issuance rate (%)
BBB(bra) 23-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU11 246 2 92.11 0.288 9.95 IPCA+ 4.2 7.86 BBB(bra) 23-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU12 847 18 87.11 0.918 9.18 IPCA+ 5.2 6.4 BBB(bra) 23-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU21 246 2 91.66 0.282 9.95 IPCA+ 4.5 7.86 BBB(bra) 23-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU31 66 4 92.58 0.081 9.75 IPCA+ 4.4 7.86 BBB(bra) 23-Aug-16 Concessionária do Aeroporto Intl Guarulhos AGRU41 70 5 92.07 0.084 9.78 IPCA+ 4.6 7.86 brAA- 23-Aug-16 AutoBan ANHB15 1,666 7 98.46 2.106 5.68 IPCA+ 2.0 4.88 brAA- 23-Aug-16 AutoBan ANHB16 46 2 99.30 0.055 5.68 IPCA+ 2.9 5.428 - 23-Aug-16 Chapada do Piauí I CHPA11 76 2 110.25 0.998 ND IPCA+ ND 9.223 - 23-Aug-16 Copel Telecomunicações CTEL11 214 5 108.86 2.569 ND IPCA+ ND 7.9633 brAA- 23-Aug-16 Ecovias ECOV12 414 2 94.85 0.512 5.66 IPCA+ 3.0 3.8 brAA- 23-Aug-16 Ecovias ECOV22 2,776 2 93.32 3.382 5.53 IPCA+ 5.8 4.28 A1.br 23-Aug-16 EDP - Energias Do Brasil ENBR15 254 4 105.99 2.845 ND IPCA+ ND 8.3479 A1.br 23-Aug-16 EDP - Energias Do Brasil ENBR24 1,262 2 ND 1.527 6.42 IPCA+ 3.4 8.8201 AA+(bra) 23-Aug-16 Ferreira Gomes Energia FGEN13 152 7 ND 0.206 ND IPCA+ ND 6.4686 brAA- 23-Aug-16 Comgas GASP14 3,486 2 105.69 4.080 5.55 IPCA+ 3.7 7.1432 brAA- 23-Aug-16 Comgas GASP23 356 2 99.02 0.467 5.64 IPCA+ 1.9 5.1 brAA- 23-Aug-16 Comgas GASP24 524 2 108.76 0.632 5.58 IPCA+ 4.7 7.482
- 23-Aug-16 Interligação Eletrica do Madeira S/A IEMD12 52 2 89.15 0.644 ND IPCA+ ND 5.5 Aa2.br 23-Aug-16 Intervias IVIA24 342 2 98.96 4.207 6.34 IPCA+ 2.8 5.96
brAA- 23-Aug-16 MRS Logística MRSL27 20 2 104.50 0.025 5.64 IPCA+ 6.0 6.4277 brB- 23-Aug-16 Norte Brasil Transmissora de Energia NRTB21 50 2 95.46 0.074 ND IPCA+ ND 7.15 A2.br 23-Aug-16 ViaLagos RDLA12 2,350 2 103.90 2.681 6.14 IPCA+ 3.4 7.34 brAA- 23-Aug-16 Rodonorte RDNT14 303 4 99.78 3.649 5.76 IPCA+ 2.9 5.691 Baa2.br 23-Aug-16 Concessionária Rodovias do Tietê RDVT11 2,174 32 99.20 2.788 8.15 IPCA+ 5.7 8
Aa2.br 23-Aug-16 Rodovias Integradas do Oeste RVIO14 1,863 14 101.50 2.161 5.88 IPCA+ 3.2 6.38 - 23-Aug-16 Santo Antônio Energia SAES12 2 2 90.15 0.240 ND IPCA+ ND 6.2 - 23-Aug-16 Salus Infraestrutura Portuária SAIP11 541 25 ND 0.671 ND IPCA+ ND 6.7879 brBBB- 23-Aug-16 Santo Antônio Energia STEN23 20 5 98.42 0.245 7.83 IPCA+ 5.2 7.4943 A-(bra) 23-Aug-16 Termeletrica Pernambuco III TEPE11 1,114 2 37.80 0.396 ND IPCA+ ND 9.11 A-(bra) 23-Aug-16 Termeletrica Pernambuco III TEPE21 1,114 2 35.64 0.47 ND IPCA+ ND 9.11 A-(bra) 23-Aug-16 Termeletrica Pernambuco III TEPE31 1,114 2 32.58 0.42 ND IPCA+ ND 9.11 A-(bra) 23-Aug-16 Termeletrica Pernambuco III TEPE41 1,114 2 29.64 0.37 ND IPCA+ ND 9.11 Aa1.br 23-Aug-16 AES Tietê TIET34 1,478 2 108.96 1.74 5.91 IPCA+ 3.7 8.4328 AA(bra) 23-Aug-16 Ventos de São Tomé Holding TOME12 2,100 2 108.92 2.75 ND IPCA+ ND 8.8593 brAAA 23-Aug-16 Vale VALE18 1,830 2 102.61 2.40 5.65 IPCA+ 3.4 6.46 brAAA 23-Aug-16 Vale VALE19 2,208 2 103.49 2.49 5.60 IPCA+ 3.6 6.6232 brAAA 23-Aug-16 Vale VALE28 318 2 104.53 0.43 5.66 IPCA+ 5.2 6.57 brAAA 23-Aug-16 Vale VALE29 584 17 107.30 0.68 5.16 IPCA+ 5.1 6.63 AA+(bra) 23-Aug-16 VLI Multimodal VLIM11 114 5 104.33 0.13 5.56 IPCA+ 3.4 6.88 AA(bra) 23-Aug-16 Ventos de São Tito Holdings VNTT11 2,186 6 110.66 2.73 ND IPCA+ ND 9.24 Aa1.br 23-Aug-16 ViaOeste VOES25 50 2 99.28 0.60 5.93 IPCA+ 2.8 5.67 brA- 24-Aug-16 Concessionária Auto Raposo Tavares CART12 240 3 93.86 0.31 7.02 IPCA+ 5.3 5.80 - 24-Aug-16 Chapada do Piauí I CHPA11 16 2 110.25 0.21 ND IPCA+ ND 9.22 - 24-Aug-16 Copel Telecomunicações CTEL11 4 2 110.24 0.05 ND IPCA+ ND 7.96 brAA- 24-Aug-16 Ecovias ECOV22 88 4 92.70 0.11 5.65 IPCA+ 5.8 4.28 A1.br 24-Aug-16 EDP - Energias Do Brasil ENBR15 106 10 104.90 1.18 ND IPCA+ ND 8.35 A1.br 24-Aug-16 EDP - Energias Do Brasil ENBR24 715 3 ND 0.87 6.40 IPCA+ 3.4 8.82 AA+(bra) 24-Aug-16 Ferreira Gomes Energia FGEN13 1,126 15 ND 1.51 ND IPCA+ ND 6.47 brAA- 24-Aug-16 Comgas GASP24 200 2 109.28 0.24 5.47 IPCA+ 4.7 7.48 - 24-Aug-16 Interligação Eletrica do Madeira S/A IEMD12 336 6 89.20 4.16 ND IPCA+ ND 5.50 brAA- 24-Aug-16 MRS Logística MRSL17 330 3 102.16 0.40 5.45 IPCA+ 4.3 5.98 brB- 24-Aug-16 Norte Brasil Transmissora de Energia NRTB11 70 4 95.51 0.09 8.09 IPCA+ 5.2 7.15 brB- 24-Aug-16 Norte Brasil Transmissora de Energia NRTB21 70 4 95.51 0.10 ND IPCA+ ND 7.15 A2.br 24-Aug-16 ViaLagos RDLA12 84 2 105.34 0.10 5.71 IPCA+ 3.4 7.34 Baa2.br 24-Aug-16 Concessionária Rodovias do Tietê RDVT11 2,477 19 99.31 3.18 8.13 IPCA+ 5.7 8.00 AA-(bra) 24-Aug-16 Renova Eólica Part. RNEP11 302 6 99.06 3.69 ND IPCA+ ND 7.61 - 24-Aug-16 Salus Infraestrutura Portuária SAIP11 387 16 ND 0.48 ND IPCA+ ND 6.79 BBB+(bra) 24-Aug-16 Saneatins SNTI13 12 2 105.29 0.14 ND IPCA+ ND 10.33 BBB+(bra) 24-Aug-16 Saneatins SNTI23 390 11 104.52 0.45 ND IPCA+ ND 10.33 A+(bra) 24-Aug-16 Supervia SPVI12 30 5 93.44 0.34 9.02 IPCA+ 4.7 7.50 brBBB- 24-Aug-16 Santo Antônio Energia STEN23 36 10 96.97 0.43 8.14 IPCA+ 5.1 7.49 Aa1.br 24-Aug-16 AES Tietê TIET34 750 3 110.38 0.89 5.53 IPCA+ 3.7 8.43
Table 6: Trades in Brazilian secondary debentures market – Infra Debentures*
Source: ANBIMA, Rating Agency. *Trade rate considers MID Price. ** Leasing debentures are not considered in the secondary market debentures.
Chart 1: Most traded debentures (18/Aug/2016 to 24/Aug/2016)
Chart 2: Most traded debentures – 2016YTD
Source: ANBIMA / BTG Pactual (BRL millions)
Source: ANBIMA / BTG Pactual (BRL millions)
Table 7: Issuances distributed in the Brazilian local market
Source: BTG Pactual
Trades in secondary debentures market Aug-16
Ratings Date Issuer Security
Code Amount Number of trades % Face Value Volume (BRL mn) Trade rate (%) Benchmark Duration (Years) Issuance rate (%)
AA(bra) 24-Aug-16 Ventos de São Tomé Holding TOME12 2,400 4 109.71 3.17 ND IPCA+ ND 8.86 brAAA 24-Aug-16 Vale VALE19 1,000 2 102.79 1.12 5.80 IPCA+ 3.6 6.62 brAAA 24-Aug-16 Vale VALE29 728 23 106.45 0.84 5.32 IPCA+ 5.1 6.63 brAAA 24-Aug-16 Vale VALE38 40 6 106.48 0.05 5.67 IPCA+ 6.5 6.71 brAAA 24-Aug-16 Vale VALE48 176 2 107.21 0.24 5.75 IPCA+ 7.3 6.78 AA+(bra) 24-Aug-16 VLI Multimodal VLIM11 466 8 104.89 0.55 5.39 IPCA+ 3.4 6.88 AA(bra) 24-Aug-16 Ventos de São Tito Holdings VNTT11 2,032 20 108.40 2.49 ND IPCA+ ND 9.24
62.7 54.4 22.4 17.2 14.1 11.0 11.0 10.6 9.5 9.5 7.4 7.3 0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 ALGA13 MSGT31 BPAR16 PGMN13 BRPR11 BRPR21 RDVT11 CMDT23 CTEL11 PGMN12 VALE19 TAEE33 737.5 354.3 328.9 322.3 233.4 231.1 208.6 184.0 183.6 174.1 162.3 157.3 0 200 400 600 800 CEMT25 CIEL14 CMTR15 CCHOA8 CTEL11 RSCF41 BRPR15 MULP13 SBSPA9 MRVE17 BNDP36 MAQN11 Issuer Date of bookbuilding Type Volume of issuance (R$ MM) Volume issued (R$ MM) Maturity Benchmark Final Spread Original spread RATING
Cemig Distribuição ma r-16 DEB 476 R$ 1,615.0 3Y DI+ 4.05% 4.05% Fi tch AA-(bra )
Cemig Distribuição ma r-16 DEB 476 R$ 0.0 5Y NTNB20 - 3.50% Fi tch AA-(bra )
Suzano ma r-16 CRA R$ 500.0 R$ 600.0 4Y %DI 98.00% 99.50% S&P brAA (s f)
BRF ma r-16 CRA R$ 1,000.0 R$ 1,000.0 3Y %DI 96.50% 96.50% S&P brAAA (s f)
Duratex ma r-16 CRA R$ 500.0 R$ 675.0 6Y %DI 98.00% 102.50%
-CCAB Agro ma r-16 CRA R$ 85.0 R$ 79.5 3Y DI+ 2.00% 2.50% S&P brAA- (s f)
EDP Energias do Brasil a br-16 DEB 476 R$ 250.0 R$ 250.0 6Y IPCA+ 8.35% 8.35% Moody's A2.br
Ipiranga ma i -16 DEB 476 R$ 500.0 R$ 500.0 5Y %DI 105.00% 105.00%
-Fibria jun-16 CRA R$ 880.16 4Y %DI 97.00% 100.00% Fi tch AAA(bra )
Fibria jun-16 CRA R$ 469.85 7Y IPCA+ 5.98% 6.48% Fi tch AAA(bra )
Valid jul -16 DEB 476 R$ 200.0 R$ 199.6 3Y %DI 114.80% 119.00% Moody's Aa 3.br
Iguatemi jul -16 CRI R$ 275.0 R$ 275.0 7Y DI+ -0.10% 0.60% Fi tch AA+(bra )
Copel G&T jul -16 DEB 476 R$ 1,000.0 R$ 1,000.0 3Y %DI 121.00% 121.00% Fi tch AA+(bra )
São Martinho jul -16 CRA R$ 300.0 R$ 350.2 3Y %DI 99.00% 104.50% S&P brAA+
Engie Brasil Energia jul -16 DEB 476 R$ 246.6 7Y IPCA+ 6.26% 6.26% Fi tch AAA(bra )
Engie Brasil Energia jul -16 DEB 476 R$ 353.4 10Y IPCA+ 6.25% 6.25% Fi tch AAA(bra )
CTEEP jul -16 DEB 476 R$ 150.0 R$ 148.3 5Y IPCA+ 6.04% 6.44% Fi tch AA+(bra )
Guararapes Confecções a go-16 CRI R$ 150.0 R$ 150.0 5Y %DI 99.50% 105.50% Fi tch AA-s f(bra ) Pipeline
Burger King a go-16 CRA R$ 150.0 4Y DI+ 1.50%
-Duke Energy a go-16 DEB 476 R$ 160.0 2Y DI+ 2.00% Moody's Aa 1.br
Vale a go-16 CRI R$ 140.0 12.7Y NTNB-24+ 1.20% Fi tch AA-s f(exp)(bra )
R$ 600.0 R$ 1,000.0 R$ 1,615.0
Table 8: Latest moves by the three main rating agencies
Source: S&P, Moody’s and Fitch
Chart 3: Term structure of local interest rate
Chart 4: DPGE change (adjusted for money-market rate)
Source: Bloomberg. 25/Aug/2016
Source: CETIP. 25/Aug/2016
Chart 5: Letras Financeiras change (adjusted for money-market rate)
Source: CETIP. 25/Aug/2016
Issuer Agency Agency's action Reason Type Current Prior Outlook
Multiplan Fitch assignment of rating issuer national scale AAA(bra) - Stable
CTEEP Fitch upgrade of rating issuer national scale AAA(bra) AA+(bra) Stable
GRU Airport Fitch downgrade of rating debentures issuance national scale CCC(bra) BBB(bra)
-Aeroportos Brasil – Viracopos Fitch downgrade of rating debentures issuance national scale CCC(bra) BBB(bra)
-Profarma Fitch outlook change issuer national scale Negative WatchNeg
-Banrisul Fitch downgrade of rating issuer national scale A+(bra) AA-(bra) Negative
CEDAE S&P outlook change issuer national scale Stable WatchNeg
-Rio de Janeiro (State of) S&P downgrade of rating issuer global / national scale CCC-/brCCC- B- / brB- Negative
Jalles Machado S&P outlook change issuer global / national scale Positive Stable
-Embasa Moody's assignment of rating issuer global / national scale Ba3 / A2.br - Negative
Odebrecht Engenharia e Construção Moody's downgrade of rating issuer global / national scale B3 / B2.br B2 / Ba2.br UnderReview
6.00 7.00 8.00 9.00 10.00 11.00 12.00 13.00 14.00 15.00
Oct-16 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 25-ago-16 31-jul-16 30-jun-16
-1,600 -1,400 -1,200 -1,000 -800 -600 -400 -200 0 200 a g o -1 5 s e t-1 5 o u t-1 5 n o v -1 5 d e z -1 5 ja n -1 6 fe v -1 6 m a r-1 6 a b r-1 6 m a i-1 6 ju n -1 6 ju l-1 6 a g o -1 6 V a ri a ç ã o d o e s to q u e e m R $ m ilh õ e s -15 -10 -5 0 5 10 15 S e p -1 5 O c t-1 5 N o v -1 5 D e c -1 5 J a n -1 6 F e b -1 6 M a r-1 6 A p r-1 6 M a y -1 6 J u n -1 6 J u l-1 6 A u g -1 6 V a ri a ç ã o d o e s to q u e m e n s a l ( R $ b i)
Brazilian Corporate Bonds (Offshore)
Chart 6: Investment Grade Corporates
Source: Bloomberg. 25/Aug/2016
Chart 7: High Yield Corporates
Source: Bloomberg. 25/Aug/2016
GGBRBZ 7.25 '17 GGBRBZ 7 '20 VALEBZ 4.63 '20 GGBRBZ 5.75 '21 BRASKM 5.75 '21 VALEBZ 5.88 '21 VALEBZ 4.38 '22 BRASKM 5.38 '22 GLOPAR 4.88 '22 EMBRBZ 5.15 '22 BRFSBZ 5.88 '22 GGBRBZ 4.75 '23 CIELBZ 3.75 '22 BRASKM 6.45 '24 EMBRBZ 5.7 '23 BRFSBZ 3.95 '23 GGBRBZ 5.89 '24 KLAB 5.25 '24 FIBRBZ 5.25 '24 BRFSBZ 4.75 '24 3.20 3.40 3.60 3.80 4.00 4.20 4.40 4.60 4.80 5.00 5.20 5.40 5.60 5.80 1 2 3 4 5 6 7 8 M ID Y T W Duration JBSSBZ 7.25 '21 MRFGBZ 9.5 '20 MRFGBZ 8.38 '18 JBSSBZ 7.75 '20 PETBRA 3 '19 BEEFBZ 8.75 'Perp MRFGBZ 6.88 '19 PETBRA 4.88 '20 BEEFBZ 7.75 '23 PETBRA 5.38 '21 PETBRA 8.38 '21 VOTORA 6.75 '21 MRFGBZ 8 '23 ELEBRA 5.75 '21 JBSSBZ 7.25 '24 JBSSBZ 6.25 '23 CSANBZ 5 '23 PETBRA 4.38 '23 PETBRA 6.25 '24 TUPY 6.63 '24 JBSSBZ 5.88 '24 VOTORA 4.75 '24 PETBRA 8.75 '26 JBSSBZ 5.75 '25 4.50 4.75 5.00 5.25 5.50 5.75 6.00 6.25 6.50 6.75 7.00 7.25 7.50 0 1 2 3 4 5 6 7 8 M ID Y T W Duration
Chart 8: Banks
Source: Bloomberg. 25/Aug/2016
BNDES 3.38 '16 SANBBZ 4.63 '17 BCOBMG 9.63 '17 BCOBMG 8 '18 CAIXBR 2.38 '17 CORBAN 3.13 '18 BNDES 6.37 '18 ITAU 2.85 '18 CAIXBR 4.5 '18 BNDES 4 '19 NORBRA 4.38 '19 CAIXBR 4.25 '19 BCOBMG 9.95 '19 BRADES 6.75 '19 CORBAN 3.88 '19 BANVOR 7.38 '20 BCOPAN 8.5 '20 BTGPBZ 4 '20 ABCBBZ 7.88 '20BICBBZ 8.5 '20 BCOBMG 8.88 '20 ITAU 6.2 '20 BANBRA 8.5 'Perp BNDES 5.5 '20 BRADES 5.9 '21 BANBRA 5.38 '21 BTGPBZ 5.75 '22 ITAU 5.5 '22 BANBRA 3.88 '22 CAIXBR 3.5 '22 BSANTM 4.13 '22 ITAU 5.13 '23 BNDES 5.75 '23 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 5.5 6.0 6.5 7.0 7.5 8.0 8.5 0 1 2 3 4 5 6 7 M ID Y T W Duration
Table 9: Latest issuances of Brazilian Corporate Bonds
Source: BTG Pactual / Bloomberg
Chart 9: Treasury 2Y and Libor 1Y Spread
Chart 10: US Treasury curve
Source: Bloomberg. 25/Aug/2016
Source: Bloomberg. 25/Aug/2016
Chart 11: Investment Grade Bonds - Top and worst price performances
(WTD)
Chart 12: High Yield Bonds - Top and worst price performances (WTD)
Source: Bloomberg. 25/Aug/2016
Source: Bloomberg. 25/Aug/2016
Issuer Type Country Size (m n) Currency Ann.Date Coupon Yield Tenor Maturity Rating
Cia Brasileira de Alum inio (VID) Corp Brasil 400 USD 11-Jun-14 4.750% 4.890% 10Y 17-Jun-24 BBB / Baa3
Odebrecht Finance Corp Brasil 500 USD 19-Jun-14 5.250% 5.250% 15Y 27-Jun-29 Baa3 / BBB / BBB
OAS Corp Brasil 400 USD 25-Jun-14 8.000% 8.000% 7Y 02-Jul-21 B1 / BB- / B+
Klabin Corp Brasil 500 USD 9-Jul-14 5.250% 5.250% 10Y 16-Jul-24
BBB-Tupy Corp Brasil 350 USD 10-Jul-14 6.625% 6.625% 10Y 17-Jul-24 BB- / BB
Intercem ent Corp Brasil 750 USD 10-Jul-14 5.750% 5.875% 10Y 17-Jul-24 BB / BB
Caixa Econôm ica Federal Bank Brasil 500 USD 16-Jul-14 7.250% 7.250% 10Y 23-Jul-24 Ba3 / BB+
Minerva (re-tap) Corp Brasil 200 USD 13-Aug-14 7.750% 6.879% 10Y 31-Jan-23
BB-BTG Pactual Bank Brasil 1300 USD 11-Sep-14 8.750% 8.750% Perp - Ba3 / B+
GOL Corp Brasil 325 USD 18-Sep-14 8.875% 9.120% 8Y 24-Jan-22
B-Cim entos Tupi (re-tap) Corp Brasil 25 USD 6-Apr-11 9.750% 9.750% 7Y 11-May-18 B / B / B
Rio Oil Finance Trust Corp Brasil 1100 USD 14-Nov-14 6.750% 6.750% 12.5Y 06-Jan-27
BBB-Votorantim Cim entos Corp Brasil 500 EUR 7-May-15 3.500% 3.737% 7.2Y 13-Jul-22 BBB / BBB / Baa3
Itau Unibanco Holding Bank Brasil 1050 USD 18-May-15 2.850% 2.860% 3Y 26-May-18 BBB- / BBB+ / Baa3
JBS USA Corp Brasil 900 USD 20-May-15 5.750% 5.750% 10Y 15-Jun-25 Ba2 / BB+
Petrobras Corp Brasil 2500 USD 1-Jun-15 6.850% 8.450% 100Y 05-Jun-15 BBB- / BBB- / Ba2
BRF Corp Brasil 500 EUR 29-May-15 2.750% 2.820% 7Y 03-Jun-22 BBB / BBB- / Baa3
Em braer Corp Brasil 1000 USD 8-Jun-15 5.050% 5.091% 10Y 15-Jun-25 Baa3 / BBB
Petrobras Corp Brasil 5000 USD 17-May-16 8.375% 8.625% 5Y 23-May-21 BB / B3
Petrobras Corp Brasil 1750 USD 17-May-16 8.750% 9.000% 10Y 23-May-26 BB / B3
Marfrig Corp Brasil 450 USD 25-May-16 8.000% 8.250% 7Y 08-Jun-23 B+ / B2 / B+
Vale Corp Brasil 1250 USD 7-Jun-16 5.875% 5.875% 5Y 10-Jun-21 BBB / Ba3 /
BBB-Eldorado Corp Brasil 350 USD 9-Jun-16 8.625% 8.875% 5Y 16-Jun-21 B+ / B+
Cosan Corp Brasil 500 USD 9-Jun-16 7.000% 7.250% 10.5Y 20-Jan-27 BB+ / Ba3 / BB
Petrobras (re-tap) Corp Brasil 1750 USD 17-May-16 8.375% 7.875% 5Y 23-May-21 BB / B3 / B+
Petrobras (re-tap) Corp Brasil 1250 USD 17-May-16 8.750% 8.750% 10Y 23-May-26 BB / B3 / B+
Vale Corp Brasil 1000 USD 3-Aug-16 6.250% 6.250% 10Y 10-Aug-26 BBB / Ba3
0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 1.8 2.0 2 2 -m a i-0 9 2 2 -j u l-0 9 2 2 -s e t-0 9 2 2 -n o v -0 9 2 2 -j a n -1 0 2 2 -m a r-1 0 2 2 -m a i-1 0 2 2 -j u l-1 0 2 2 -s e t-1 0 2 2 -n o v -1 0 2 2 -j a n -1 1 2 2 -m a r-1 1 2 2 -m a i-1 1 2 2 -j u l-1 1 2 2 -s e t-1 1 2 2 -n o v -1 1 2 2 -j a n -1 2 2 2 -m a r-1 2 2 2 -m a i-1 2 2 2 -j u l-1 2 2 2 -s e t-1 2 2 2 -n o v -1 2 2 2 -j a n -1 3 2 2 -m a r-1 3 2 2 -m a i-1 3 2 2 -j u l-1 3 2 2 -s e t-1 3 2 2 -n o v -1 3 2 2 -j a n -1 4 2 2 -m a r-1 4 2 2 -m a i-1 4 2 2 -j u l-1 4 2 2 -s e t-1 4 2 2 -n o v -1 4 2 2 -j a n -1 5 2 2 -m a r-1 5 2 2 -m a i-1 5 2 2 -j u l-1 5 2 2 -s e t-1 5 2 2 -n o v -1 5 2 2 -j a n -1 6 2 2 -m a r-1 6 2 2 -m a i-1 6 2 2 -j u l-1 6 Treasury 2Y Libor 1Y 0.0 0.5 1.0 1.5 2.0 2.5
12M 2Y 3Y 5Y 10Y 15Y 20Y
25-ago-16 31-jul-16 30-jun-16
GGBRBZ '20 EMBRBZ '25 EMBRBZ '22 EMBRBZ '23 VALEBZ '34 BRFSBZ '24 BRASKM '21 VALEBZ '39 VALEBZ '20 VALEBZ '19 VALEBZ '36 VALEBZ '21 GGBRBZ '24 VALEBZ '42 -3.0% -2.5% -2.0% -1.5% -1.0% -0.5% 0.0% 0.5% 1.0% GOLLBZ 'oo ODEBRE '22 USJACU '21 ODBR '25 RIOOIL '27 BRPRSA 'oo RIOOIL '24 PETBRA '40 SAMMIN '24 PETBRA '41 SAMMIN '23 PETBRA '43 BANBRA 'oo BANBRA 'oo -6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0%
Disclaimers
This report has been prepared by Banco BTG Pactual S.A.
The figures contained in performance charts refer to the past; past performance is not a reliable indicator of future results.
BTG Pactual S.A. Global Credit Research: Recommendation Definitions
BTG Pactual S.A. employs a recommendation scheme designed to rank potential investment opportunities within non-government fixed
income
markets and sectors
Outlook for
Time
Horizon
BTG Pactual S.A.
Terminology
Expectation
Definition
Credit fundamentals of
the company
6 months
IMPROVING
Improve
Credit fundamentals of the company are anticipated
to <expectation> over the next six months
STABLE
Remain stable
DETERIORATING
Deteriorate
Bond
3 months
BUY
Outperform
Company/Bond is anticipated to <expectation> other
companies/bonds within a given peer group in the
local currency investment universe over a three-month
horizon
HOLD
Perform in line
SELL
Underperform
All recommendation
types
N/A
Under Review
N/A
The recommendation is under review and a new
recommendation may be published within the next
18 days
Analyst Certification
Each research analyst primarily responsible for the content of this investment research report, in whole or in part, certifies that:
(i) all of the views expressed accurately reflect his or her personal views about those securities or issuers, and such recommendations were elaborated independently, including in relation to Banco BTG Pactual S.A. and/or its affiliates, as the case may be;
(ii) no part of his or her compensation was, is, or will be, directly or indirectly, related to any specific recommendations or views contained herein or linked to the price of any of the securities discussed herein.
Research analysts contributing to this report who are employed by a non-US Broker dealer are not registered/qualified as research analysts with FINRA and therefore are not subject to the restrictions contained in the FINRA rules on communications with a subject company, public appearances, and trading securities held by a research analyst account.
Part of the analyst compensation comes from the profits of Banco BTG Pactual S.A. as a whole and/or its affiliates and, consequently, revenues arisen from transactions held by Banco BTG Pactual S.A. and/or its affiliates.
Where applicable, the analyst responsible for this report and certified pursuant to Brazilian regulations will be identified in bold on the first page of this report and will be the first name on the signature list.
Disclosures das Companhias
Company Name
Bradespar
18, 19, 20, 21, 22CEMIG DIST
1, 2, 4, 6, 18, 19, 20Monsanto
18, 19, 20, 21, 22Rodovias do Tietê
1, 2, 4, 6, 18, 19, 20VLIOperacoesPortuarias
18, 19, 20, 21, 221. Within the past 12 months, Banco BTG Pactual S.A., its affiliates or subsidiaries has received compensation for investment banking services from this company/entity.
2. Banco BTG Pactual S.A, its affiliates or subsidiaries expect to receive or intend to seek compensation for investment banking services and/or products and services other than investment services from this company/entity within the next three months.
4. This company/entity is, or within the past 12 months has been, a client of Banco BTG Pactual S.A., and investment banking services are being, or have been, provided.
6. Banco BTG Pactual S.A. and/or its affiliates receive compensation for any services rendered or presents any commercial relationships with this company, entity or person, entities or funds which represents the same interest of this company/entity.
18. As of the end of the month immediately preceding the date of publication of this report, neither Banco BTG Pactual S.A. nor its affiliates or subsidiaries beneficially own 1% or more of any class of common equity securities
19. Neither Banco BTG Pactual S.A. nor its affiliates or subsidiaries have managed or co-managed a public offering of securities for the company within the past 12 months.
20. Neither Banco BTG Pactual S.A. nor its affiliates or subsidiaries engaged in market making activities in the subject company's securities at the time this research report was published. 21. Banco BTG Pactual S.A. or its affiliates or subsidiaries have not received compensation for investment banking services from the companies in the past 12 months
Disclaimer Global
This report has been prepared by Banco BTG Pactual S.A. (“BTG Pactual S.A.”), a Brazilian regulated bank. BTG Pactual S.A. is the responsible for the distribution of this report in Brazil. BTG Pactual US Capital LLC (“BTG Pactual US”), a broker-dealer registered with the U.S. Securities and Exchange Commission and a member of the Financial Industry Regulatory Authority and the Securities Investor Protection Corporation is distributing this report in the United States. BTG Pactual US is an affiliate of BTG Pactual S.A. BTG Pactual US assumes responsibility for this research for purposes of U.S. law. Any U.S. person receiving this report and wishing to effect any transaction in a security discussed in this report should do so with BTG Pactual US at 212-293-4600, 601 Lexington Ave. 57th Floor, New York, NY 10022.
This report is being distributed in the United Kingdom and elsewhere in the European Economic Area (“EEA”) by BTG Pactual Europe LLP (“BTG Pactual UK”), which is authorized and regulated by the Financial Conduct Authority of the United Kingdom. This report may also be distributed in the United Kingdom and elsewhere in the EEA by BTG Pactual S.A. and/or BTG Pactual US. BTG Pactual UK has not: (i) produced this report, (ii) substantially altered its contents, (iii) changed the direction of the recommendation, or (iv) disseminated this report prior to its issue by BTG Pactual US. BTG Pactual UK does not distribute summaries of research produced by BTG Pactual US.
BTG Pactual Chile S.A. Corredores de Bolsa (“BTG Pactual Chile”), formerly known as Celfin Capital S.A. Corredores de Bolsa, is a Chilean broker dealer registered with Superintendencia Valores Y Seguros (SVS) in Chile and responsible for the distribution of this report in Chile and BTG Pactual Perú S.A. Sociedad Agente de Bolsa (“BTG Pactual Peru”), formerly known as Celfin Capital S.A. Sociedad Agente e Bolsa, registered with Superintendencia de Mercado de Valores (SMV) de Peru is responsible for the distribution of this report in Peru. BTG Pactual Chile and BTG Pactual Peru acquisition by BTG Pactual S.A. was approved by the Brazilian Central Bank on November 14th, 2012.
BTG Pactual S.A. Comisionista de Bolsa (“BTG Pactual Colombia”) formerly known as Bolsa y Renta S.A. Comisionista de Bolsa, is a Colombian broker dealer register with the Superintendencia Financeira de Colombia and is responsible for the distribution of this report in Colombia. BTG Pactual Colombia acquisition by BTG Pactual S.A. was approved by Brazilian Central Bank on December 21st, 2012.
References herein to BTG Pactual include BTG Pactual S.A., BTG Pactual US Capital LLC, BTG Pactual Europe LLP, BTG Pactual Chile and BTG Pactual Peru and BTG Pactual Colombia as applicable. This report is for distribution only under such circumstances as may be permitted by applicable law. This report is not directed at you if BTG Pactual is prohibited or restricted by any legislation or regulation in any jurisdiction from making it available to you. You should satisfy yourself before reading it that BTG Pactual is permitted to provide research material concerning investments to you under relevant legislation and regulations. Nothing in this report constitutes a representation that any investment strategy or recommendation contained herein is suitable or appropriate to a recipient’s individual circumstances or otherwise constitutes a personal recommendation. It is published solely for information purposes, it does not constitute an advertisement and is not to be construed as a solicitation, offer, invitation or inducement to buy or sell any securities or related financial instruments in any jurisdiction. Prices in this report are believed to be reliable as of the date on which this report was issued and are derived from one or more of the following: (i) sources as expressly specified alongside the relevant data; (ii) the quoted price on the main regulated market for the security in question; (iii) other public sources believed to be reliable; or (iv) BTG Pactual's proprietary data or data available to BTG Pactual. All other information herein is believed to be reliable as of the date on which this report was issued and has been obtained from public sources believed to be reliable. No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, except with respect to information concerning Banco BTG Pactual S.A., its subsidiaries and affiliates, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in the report. In all cases, investors should conduct their own investigation and analysis of such information before taking or omitting to take any action in relation to securities or markets that are analyzed in this report. BTG Pactual does not undertake that investors will obtain profits, nor will it share with investors any investment profits nor accept any liability for any investment losses. Investments involve risks and investors should exercise prudence in making their investment decisions. BTG Pactual accepts no fiduciary duties to recipients of this report and in communicating this report is not acting in a fiduciary capacity. The report should not be regarded by recipients as a substitute for the exercise of their own judgment. Opinions, estimates, and projections expressed herein constitute the current judgment of the analyst responsible for the substance of this report as of the date on which the report was issued and are therefore subject to change without notice and may differ or be contrary to opinions expressed by other business areas or groups of BTG Pactual as a result of using different assumptions and criteria. Because the personal views of analysts may differ from one another, Banco BTG Pactual S.A., its subsidiaries and affiliates may have issued or may issue reports that are inconsistent with, and/or reach different conclusions from, the information presented herein. Any such opinions, estimates, and projections must not be construed as a representation that the matters referred to therein will occur. Prices and availability of financial instruments are indicative only and subject to change without notice. Research will initiate, update and cease coverage solely at the discretion of BTG Pactual Investment Bank Research Management. The analysis contained herein is based on numerous assumptions. Different assumptions could result in materially different results. The analyst(s) responsible for the preparation of this report may interact with trading desk personnel, sales personnel and other constituencies for the purpose of gathering, synthesizing and interpreting market information. BTG Pactual is under no obligation to update or keep current the information contained herein, except when terminating coverage of the companies discussed in the report. BTG Pactual relies on information barriers to control the flow of information contained in one or more areas within BTG Pactual, into other areas, units, groups or affiliates of BTG Pactual. The compensation of the analyst who prepared this report is determined by research management and senior management (not including investment banking). Analyst compensation is not based on investment banking revenues, however, compensation may relate to the revenues of BTG Pactual Investment Bank as a whole, of which investment banking, sales and trading are a part. The securities described herein may not be eligible for sale in all jurisdictions or to certain categories of investors. Options, derivative products and futures are not suitable for all investors, and trading in these instruments is considered risky. Mortgage and asset-backed securities may involve a high degree of risk and may be highly volatile in response to fluctuations in interest rates and other market conditions. Past performance is not necessarily indicative of future results. If a financial instrument is denominated in a currency other than an investor’s currency, a change in rates of exchange may adversely affect the value or price of or the income derived from any security or related instrument mentioned in this report, and the reader of this report assumes any currency risk. This report does not take into account the investment objectives, financial situation or particular needs of any particular investor. Investors should obtain independent financial advice based on their own particular circumstances before making an investment decision on the basis of the information contained herein. For investment advice, trade execution or other enquiries, clients should contact their local sales representative. Neither BTG Pactual nor any of its affiliates, nor any of their respective directors, employees or agents, accepts any liability for any loss or damage arising out of the use of all or any part of this report. Notwithstanding any other statement in this report, BTG Pactual UK does not seek to exclude or restrict any duty or liability that it may have to a client under the “regulatory system” in the UK (as such term is defined in the rules of the Financial Conduct Authority). Any prices stated in this report are for information purposes only and do not represent valuations for individual securities or other instruments. There is no representation that any transaction can or could have been effected at those prices and any prices do not necessarily reflect BTG Pactual internal books and records or theoretical model-based valuations and may be based on certain assumptions. Different assumptions, by BTG Pactual S.A., BTG Pactual US, BTG Pactual UK, BTG Pactual Chile and BTG Pactual Peru and BTG Pactual Colombia or any other source, may yield substantially different results. This report may not be reproduced or redistributed to any other person, in whole or in part, for any purpose, without the prior written consent of BTG Pactual and BTG Pactual accepts no liability whatsoever for the actions of third parties in this respect. Additional information relating to the financial instruments discussed in this report is available upon request. BTG Pactual and its affiliates have in place arrangements to manage conflicts of interest that may arise between them and their respective clients and among their different clients. BTG Pactual and its affiliates are involved in a full range of financial and related services including banking, investment banking and the provision of investment services. As such, any of BTG Pactual or its affiliates may have a material interest or a conflict of interest in any services provided to clients by BTG Pactual or such affiliate. Business areas within BTG Pactual and among its affiliates operate independently of each other and restrict access by the particular individual(s) responsible for handling client affairs to certain areas of information where this is necessary in order to manage conflicts of interest or material interests. Any of BTG Pactual and its affiliates may: (a) have disclosed this report to companies that are analyzed herein and subsequently amended this report prior to publication; (b) give investment advice or provide other services to another person about or concerning any securities that are discussed in this report, which advice may not necessarily be consistent with or similar to the information in this report; (c) trade (or have traded) for its own account (or for or on behalf of clients), have either a long or short position in the securities that are discussed in this report (and may buy or sell such securities), with the securities that are discussed in this report; and/or (d) buy and sell units in a collective investment scheme where it is the trustee or operator (or an adviser) to the scheme, which units may reference securities that are discussed in this report.
United Kingdom and EEA: Where this report is disseminated in the United Kingdom or elsewhere in the EEA by BTG Pactual UK, this report is issued by BTG Pactual UK only to, and is directed
by BTG Pactual UK at, those who are the intended recipients of this report. This report has been classified as investment research and should not be considered a form of advertisement or financial promotion under the provisions of FSMA 2000 (Sect. 21(8)).
Dubai: This research report does not constitute or form part of any offer to issue or sell, or any solicitation of any offer to subscribe for or purchase, any securities or investment products in the UAE
(including the Dubai International Financial Centre) and accordingly should not be construed as such. Furthermore, this information is being made available on the basis that the recipient acknowledges and understands that the entities and securities to which it may relate have not been approved, licensed by or registered with the UAE Central Bank, Emirates Securities and Commodities Authority or the Dubai Financial Services Authority or any other relevant licensing authority or governmental agency in the UAE. The content of this report has not been approved by or filed with the UAE Central Bank or Dubai Financial Services Authority.
United Arab Emirates Residents: This research report, and the information contained herein, does not constitute, and is not intended to constitute, a public offer of securities in the United Arab Emirates and accordingly should not be construed as such. The securities are only being offered to a limited number of sophisticated investors in the UAE who (a) are willing and able to conduct an independent investigation of the risks involved in an investment in such securities, and (b) upon their specific request. The securities have not been approved by or licensed or registered with the UAE Central Bank or any other relevant licensing authorities or governmental agencies in the UAE. This research report is for the use of the named addressee only and should not be given or shown to any other person (other than employees, agents or consultants in connection with the addressee's consideration thereof). No transaction will be concluded in the UAE and any enquiries regarding the securities should be made with BTG Pactual CTVM S.A. at +55 11 3383-2638, Avenida Brigadeiro Faria Lima, 3477, 14th floor, São Paulo, SP, Brazil, 04538-133.
