Odebrecht Reviving Loan Market as Yields Rise: Brazil Credit
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Odebrecht SA and Centrais Eletricas Brasileiras SA plan to borrow using syndicated loans next year to finance investment, a sign the market for bank credit may rebound after sinking to a five-year low of $4.7 billion.
Eletrobras, as Latin America’s largest utility is known, may take loans after selling bonds abroad as it seeks to boost investment 50 percent to $9 billion in 2011, Chief Financial Officer Armando Casado said. Odebrecht Engenharia e Construcao, the engineering and construction unit of Odebrecht, is considering loans after benchmark corporate bond yields climbed 48 basis points, or 0.48 percentage point, since November to a 12-week high of 6.12 percent, according to JPMorgan Chase & Co.