A peso securitization of dollar-denominated paper from a division of Credit Suisse First Boston has entered the Colombian domestic pipeline. Sized at Ps300 billion (US$103 million), the deal is backed by three bonds issued by CSFB USA in the U.S. market between 1995 and 2001. The paper matures in 2005, 2008 and 2011. Fiduciaria del Valle will be the trustee. The deal will be denominated in local currency and divided into three series. One will carry a fixed rate, another will be tied to the DTF benchmark rate, and the third will be indexed to inflation. Each tranche, in turn, will be split up to match the maturities of the three underlying bonds. The structure includes a swap contract with Credit Suisse First Boston International (CSFBi) and exchange-rate contract with Corporacion Financiera del Valle (Corfivalle). Fitch Ratings affiliate Duff & Phelps has assigned a AAA' on the national scale to the transaction, which hinges strongly on the credit standing of CSFBi, rated AA-' by Fitch in foreign currency, global scale.
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