YPF Bonds Hit Record Low on Specter of Regulated Energy Prices
- Bonds due ‘25 in biggest Argentine energy company drop 5 cents
- Slump follows opposition’s landslide victory in primaries
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Bonds of YPF SA, Argentina’s state-owned oil producer, slumped on concern Sunday’s primary election heralds the return of regulated energy prices that kept tariff largely frozen from 2002 to 2015.
The $1.5 billion of YPF bonds due in 2025 tumbled more than 5 cents on the dollar to the lowest intraday price on record. The bonds now offer a yield to maturity of 12.78%. The 6.95% bonds due 2027 fell a record 13.85 cents to 75, while the 7% bonds due 2047 dropped 10.5 cents to 72.5, according to Trace pricing.