The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney, a part of the Euromoney Institutional Investor PLC.

Deal insider

Philippines Brady exchange: No expense spared by JP Morgan on Brady. Steven Irvine

Issuer: Republic of the Philippines

Amount: $690 million

Launched: September 20

Lead manager: JP Morgan

Type of issue: Brady exchange

The idea was easily sold to Roberto de Ocampo. "It sounds like an offer we cannot refuse," the Philippines' finance minister told jp Morgan's Simon Paterno in his ministerial office. Morgan was offering the tempting prospect of following Mexico's example of swapping distressed Brady debt for new bonds. The deal, if it happened, would signal the Philippines' full rehabilitation in the eyes of the international capital markets. Little wonder de Ocampo was keen.

It wasn't a sudden proposal. Outgoing undersecretary of finance, Romeo Bernardo, had been in negotiations with Morgan's long-serving head of investment banking in the Philippines, Simon Paterno. The two had known each other since they had returned home from the us in 1990. Bernardo was due to retire from his post on June 30, and Paterno wanted him to go out on a high note.

Bernardo, a risk-averse man, told him, "Show me a deal where Morgan will pay all the expenses in case it doesn't happen." Paterno went to New York in April with just this in mind.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree