When Mexico issued its CAC-laden 12-year bond in February, it didn’t offer investors a choice: anybody wanting new Mexican debt couldn’t buy a bond without CACs instead. So there’s no way of knowing for sure whether or not Mexico paid a premium for including CACs.
JPMorgan, Goldman Sachs, and Mexico itself all say that it did not pay a premium. Mexico had issued a highly successful 10-year bond in January, which was trading at about 275bp over the 10-year Treasury when the 2015s priced.
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