Itau’s Real Sale Shows Overseas Cost Advantage: Brazil Credit
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Itau Unibanco Holding SA’s first overseas Brazilian real-denominated bond sale in more than three years is highlighting the cost advantage of borrowing abroad versus issuing debt locally.
Itau, Brazil’s largest bank by market value, sold 500 million reais ($290.8 million) of five-year international real debt last week to yield 10.5 percent, 180 basis points less than similar-maturity Brazilian government bonds offered locally.