Key Facts
—Deal. Banamex placed US$900 million of perpetual bonds that count as bank capital (known as AT1), with a 9.50% annual coupon.
—Ratings. Moody’s rates the bonds Ba2 (hyb) and S&P rates them BB-, both below investment grade.
—Demand. The offering was oversubscribed, with orders from the United States, Europe, Asia and Latin America.
—Listing. The bonds are listed on Euronext Dublin’s Global Exchange Market.
—Context. It was Banamex’s second international capital markets deal of 2026, after a US$1.3 billion subordinated note in April.
—Power Index Mexico ranks 2nd of 14 in The Rio Times Latin America Power Index, with 71.4 points (October 2026 edition).
Mexico’s Banamex placed US$900 million of perpetual capital bonds on Monday, 19 October 2026, paying a 9.50% annual coupon. The deal was oversubscribed, with buyers in the United States, Europe, Asia and Latin America.
For US investors, it is a test of demand for Banamex, which Citigroup is separating from its business and plans to list on the stock market. Banamex is one of Mexico’s biggest banks.
What the Bonds Are
The securities are additional tier 1 bonds, or AT1, a type of debt that counts as a bank’s core capital. They have no maturity date, and the bank can redeem them from 5.5 years after issue.
Moody’s rates them Ba2 (hyb) and S&P rates them BB-, both below investment grade, which reflects their higher risk. They are listed on Euronext Dublin’s Global Exchange Market.
What Banamex Says
Patricio Diez de Bonilla, the bank’s finance director, described the deal as its second international capital markets transaction this year. He said it showed investor confidence in the bank despite volatile markets.
The bank gave no order book size or breakdown of buyers beyond the regions. In April, Banamex priced US$1.3 billion of 6.697% subordinated notes due 2036, its first international debt sale since Citi began its exit.
Live Market IntelligenceMexico — Live Market Board
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Mexico — Live Market Board
+0.06%
205,079.25
-0.17%
68,969.69
+0.06%
10,972.40
+0.02%
3,017,221
—
2,521.34
-1.75%
59,664.64
+0.40%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| IPC MEX | 68,969.69 | +0.06% | +12.17% | 68,929.72 | 66,121 | 65,405 | 108,886,187 |
| USD/MXN | 17.06 | -0.24% | -8.58% | 17.10 | 17.08 | 17.01 | — |
| WALMEX | 48.07 | -0.62% | -14.38% | 48.37 | 48.65 | 48.02 | 10,781,446 |
| GMEXICO | 223.28 | +0.35% | +73.59% | 222.50 | 226.18 | 222.17 | 1,325,556 |
| FEMSA | 201.19 | -0.24% | +25.67% | 201.67 | 206.71 | 199.56 | 750,706 |
| CEMEX | 19.32 | +0.89% | +19.10% | 19.15 | 19.35 | 19.04 | 14,327,054 |
| GFNORTE | 193.98 | +1.18% | +14.36% | 191.71 | 195.79 | 191.83 | 1,579,115 |
| BIMBO | 60.98 | -0.96% | +11.89% | 61.57 | 61.46 | 60.29 | 1,048,115 |
| TELEVISA | 9.71 | +0.21% | +12.78% | 9.69 | 9.75 | 9.60 | 577,851 |
| AMX | 19.80 | -0.95% | +12.53% | 19.99 | 20.05 | 19.70 | 58,058,525 |
| GAP | 366.23 | +0.43% | -21.21% | 364.68 | 370.85 | 362.82 | 226,946 |
| ASUR | 275.04 | +1.25% | -15.28% | 271.64 | 275.08 | 271.31 | 15,451 |
| OMA | 233.50 | +0.62% | -6.48% | 232.06 | 235.00 | 230.62 | 555,693 |
| KOF | 188.04 | +0.86% | +18.94% | 186.44 | 188.56 | 185.52 | 425,273 |
| GRUMA | 252.90 | +0.11% | -21.85% | 252.61 | 254.74 | 250.36 | 90,048 |
| KIMBER | 39.74 | +0.43% | +8.85% | 39.57 | 40.09 | 39.33 | 490,551 |
| AMX ADR | 23.38 | -0.23% | +22.25% | 23.43 | 23.49 | 23.06 | 1,347,445 |
Citi’s Exit
Citi announced in January 2022 that it would leave Mexican consumer banking and separate Banamex. Reports say Citi has sold 22.6% of Banamex, with another 1.4% sale pending, and still holds about half of the bank.
Mexican businessman Fernando Chico Pardo holds 25% after buying in December 2025, according to reports. Citi has said it expects to complete the separation in 2027, with a stock market listing to follow subject to market conditions.
What It Means for You
Investors in Mexican bank debt can read the 9.50% coupon as the price of the risk in a perpetual, below-investment-grade bond. Demand from four regions suggests global funds are willing to hold Banamex risk during the separation from Citi.
Customers with Banamex accounts are not directly affected by the bond sale. The bonds add to the capital that supports the bank’s balance sheet.
What Is Not Known
The bank has not published the size of the order book or the split of buyers by investor type. The reports we reviewed also do not give the exact time of the pricing.
It is not yet clear how the bonds will trade after issue, since we found no secondary-market prices. The timing of the Banamex stock market listing has not been fixed.
More: Mexico news in English, every day from The Rio Times.
Sources
El Diario de Chihuahua · Indice Corporativo · Cronista México · Expansión (April deal) · El CEO
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
Frequently Asked Questions
What did Banamex sell?
Banamex placed US$900 million of perpetual AT1 capital bonds with a 9.50% annual coupon on 19 October 2026. The bonds are callable by the bank from 5.5 years after issue.
What is an AT1 bond?
An AT1, or additional tier 1, bond is a perpetual bond that counts as a bank’s core capital. It pays a high coupon because it carries more risk than ordinary debt.
How are the bonds rated?
Moody’s rates them Ba2 (hyb) and S&P rates them BB-. Both ratings are below investment grade.
What is happening to Citi’s stake in Banamex?
Citi is separating from Banamex and has sold part of its stake, with a listing planned after the separation. Citi expects to complete the separation in 2027.