Article: Grupo Mexico to issue debt for US$500 million.

MEXICO CITY, Aug 20, 2002

Grupo Mexico (GM) is planning to issue debt for nearly US$500 million through its subsidiary Ferromex in order to purchase Asarco's stock in Southern Peru Copper.Company sources said the firm would try to negotiate a credit for Ferromex with some banks, but it was likely that the company would decide to issue debt.Grupo Ferroviario Mexicano, holder of Ferromex, has a debt of US$79.5 million and debt expirations of US$7.2 million this year. Grupo Mexico said the objective of the purchase was to clean up Asarco's finances.According to analysts at BCP Securities, the ...

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