BBVA supports Bancomext’s sustainable issuance of 16,485 million pesos, strengthening financing in Mexico

BBVA worked with Banco Nacional de Comercio Exterior (Bancomext) in the issuance of a Sustainable Bond totaling 16,485 million pesos, demaonstrating its commitment to clean and inclusive growth in Mexico.

BBVA Mexico participated as a placement intermediary in the local market for Bancomext’s issuance of notes with a sustainability label, which saw a demand of 24,769 million pesos, 2.5 times the target amount of 10 billion pesos, making it the most highly demanded debt transaction in the local debt market carried out by Bancomext.

The placement consisted of three bonds, designed to reach a wide range of investors:

• BACMEXT 25X: for 3,880 million pesos at 3.5 years, placed at a floating rate of the 25 basis points over the TIIE funding rate, in line with the initial price talk.

• BACMEXT 25-DX: A USD 9 million issuance (equivalent to 1,562 millions pesos) with a three-year tenor, priced at U.S. Treasury (4.00%) + 87 basis points. The final yield came in approximately 18 basis points below the comparable UMS benchmark.

• BACMEXT 25-2X: A 11,042 million pesos issuance with a ten-year tenor, priced at a fixed rate of MBono 34-36 (9.50%) + 37 basis points, settling 3 basis points below the initial price guidance.The issue received AAA credit ratings from HR Ratings and Fitch Ratings, recognizing Bancomext's financial strength and the quality of its issuance programme.

The issuance received AAA credit ratings from HR Ratings and Fitch Ratings, reflecting Bancomext’s financial strength and the high quality of its debt issuance program.

Proceeds from the transaction will be allocated to eligible projects under Bancomext’s Sustainable Bond Framework, including renewable energy and energy efficiency initiatives aimed at accelerating the transition to a low-carbon economy; sustainable infrastructure to enhance the competitiveness of Mexico’s industrial sector; and trade finance to support key businesses driving the country’s economic growth.

Commenting on the significance of the transaction, Álvaro Vaqueiro Ussel, Head of Corporate and Investment Banking at BBVA Mexico, stated: "This transaction underscores Bancomext’s commitment to sustainable development, channeling resources through local debt markets to support strategic sectors crucial to Mexico’s economic growth. At BBVA, we take pride in supporting our clients in transactions that deepen financial markets, strengthen the economy, and foster more sustainable and inclusive development."

Meanwhile, Ismael Villanueva, Head of Debt Issuance and International Relations at Bancomext, remarked: "With this issuance, Bancomext achieved record-breaking investor demand, reflecting the strength and confidence in Mexico’s development banking sector. We appreciate BBVA’s participation in this landmark transaction."

BBVA’s involvement in this transaction reaffirms its commitment to the growth of Mexico’s debt markets and to mobilizing capital for ESG-focused projects.