Sept. 21 (Bloomberg) -- Grupo Posadas SAB, a Latin American hotel operator, is looking to extend the maturities on debt denominated in pesos and dollars.
Chief Financial Officer Ruben Camiro said the Mexico City-based company plans to push out its 2.25 billion pesos ($175 million) of debt maturing in 2013 and its $200 million of dollar bonds due in 2015. The company hopes to extend the dollar bond maturities by at least three years, he said by phone yesterday from Mexico City.
“We would like to repackage everything and move it down the road,” he said.
Posadas plans to extend the debt maturities after closing the sale of its South American operations to Paris-based Accor SA, according to Camiro. The deal announced July 16 is worth $275 million dollars and will leave Posadas with net debt of about $200 million, Camiro said. He said the sale is “on track” and will probably close “very soon.”
Yields on Posadas’s dollar bonds due in 2015 fell 24 basis points, or 0.24 percentage point, to 8.51 percent at 11:48 a.m. in Mexico City, according to data compiled by Trace.
The securities’ yields have tumbled 603 basis points since before Posadas announced the asset sale more than two months ago, according to the data from the bond-price reporting system of the Financial Industry Regulatory Authority.
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