MercadoLibre Shares Drop 2.8% on Debt Issue

MercadoLibre Shares Drop 2.8% on Debt Issue

On Wednesday, shares of MercadoLibre Inc (NASDAQ:MELI) declined 2.8% after Bloomberg reported that the Latin American e‑commerce and fintech giant is returning to the global debt markets for only the third time. The company is issuing dollar‑denominated notes that mature in 2036, with an initial spread of roughly 160 basis points over comparable U.S. Treasury securities. Proceeds from the issuance are earmarked for general corporate purposes. This marks MercadoLibre’s first bond sale since December and only its third international bond since its inaugural global offering in 2021. The transaction is being underwritten by Allen & Company, BofA Securities, Citigroup, Goldman Sachs, JPMorgan, Morgan Stanley and Santander. The new notes have received a BBB‑minus rating from both Fitch Ratings and S&P Global Ratings, and a Baa3 rating from Moody’s, representing the lowest tier of investment‑grade ratings across the three agencies. MercadoLibre operates in 18 Latin American countries, providing a combination of e‑commerce platforms and financial technology services.