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Latin America's new issues market experienced remarkable growth in 1995 even in the aftermath of the Mexican currency crisis. Bond issues reached $20 billion, up from the previous year's $17 billion. Market activity was brisk even at the end of the year, with the region's borrowers managing to sell $4 billion worth of bonds within only five weeks. US investors were particularly attracted to large issues with creative rather than plain vanilla structures., While 1995 saw the Mexican crisis knock the wind out of Latin America's sails, it also proved to be a year of unexpected growth in the region's new issues market. [...]

Investments in Mexico and other Latin American countries should return to profitability, in spite of the present crisis, and pension fund managers will continue to invest in emerging markets. The fall of the peso's valuation hurt those already invested but provided opportunities for new stock purchases because of the bargains available, according to some analysts. Pres Zedillo's program should improve Mexico's economy.

Smith Barney Shearson International Securities head Scott Kalb believes that stocks of Mexican companies are likely to increase in value if the North American Free Trade Agreement is ratified, which he expects to occur by Jun 30, 1993. Five Mexican stocks that Kalb favors are named.

The negotiation of side agreements to the North American Free Trade Agreement (NAFTA) helped boost Mexican stocks 3.7% on Aug 13, 1993, and some investors forecasted more activity later in 1993, especially if NAFTA is passed by the US Congress. The Mexican market has gained favor with Latin American investors through its political and economic reforms that have resulted in reduced inflation, stabilized currency, and an improved monetary system. ARCO Investment Management Co, Gulfstream Global Investors, and Latin American Securities are among firms investing in the Mexican market.

American banks are reconsidering their business dealings in Mexico following a drop in that country's stock market. Bolsa, Mexico's stock price index, closed at 1,603 on Jun 29, 1992, down 15% from the year's high of 1,893. The Mexican banking industry has been among the biggest losers during the economic downturn. Analysts fear that devaluation of the Mexican peso against the American dollar could lead to further financial difficulties for the banks. US banks have earned tens of millions of dollars in fees helping Mexican companies raise capital in the international market., Mexico's stock market swoon is prompting U.S. bankers to reassess their business prospects in the burgeoning nation. The 15% slump in equity prices this year has shadowed new offerings. That [...]

Mexico's Grupo Modelo raised $530 million in a domestic American depository receipt (ADR) market offering. Foreign buying of the beverage group's shares was heavy. Cigarette distributor Empresas la Moderna and construction company Grupo Tribasa of Mexico also had ADR issues worth $171 million and $376 million, respectively. Glass container maker Cristalerias de Chile also had an $87.3-million offering., Modelo launches on all-domestic offering The big news in the Latin ADR market was the issue that didn't make it across the border. Grupo Modelo, the Mexican beverage group that [...]

Mexican truck and bus manufacturer Dina has offered shares on the New York Stock Exchange (NYSE), making it the fifth Mexican company to do so. Dina plans to offer both the Mexican Bolsa and the NYSE an estimated $175 million new issue of shares which will be placed under the name Consortio Grupo Dina. Stock market analysts expect more Mexican firms to offer their shares with their new ability to acquire large pools of capital. Meanwhile, Mexico's high interest rates hampers the trucking industry's efforts to upgrade its fleets. Stock exchanges offer truckers a way to raise additonal capital to maintain their competitiveness.