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News Archive

  • Bank of China appointed as RMB clearing bank in Paris, BNPP wins RQFII licence

    The People’s Bank of China (PBoC) announced on Monday that it had appointed Bank of China Paris Branch (BoC Paris) as the official RMB clearing bank for France. BNP Paribas, meanwhile, was also granted its own RQFII licence.

  • Springleaf $2.62bn ABS follows servicing divestment

    Springleaf Finance, along with New Residential Investment Corp. and Blackstone Tactical Opportunities Advisors, intends to issue $2.62bn worth of personal loan ABS from a joint venture entity called SpringCastle. The issue comes just a month after Springleaf announced plans to unwind its mortgage servicing operations.

  • Grant Thornton hires director for securitization valuation

    Grant Thornton has hired a former DTCC securitization valuation specialist for its forensic and valuation services practices in New York.

  • Private student loan providers readying securtization platforms

    With government-backed student loan collateral diminishing, decreasing ABS issuance in the sector could be boosted as private lenders like Citizens Bank look to consolidate loans into securitization-ready pools.

  • Take two for CLO Volcker relief bill

    A bill that would exempt certain collateralised loan obligations from the Volcker rule is up for consideration in the House of Representatives today. If it gets through Congress, it could ease fractious negotiations between bank investors in triple-A notes, CLO managers and holders of other tranches over whether or not to Volckerise legacy transactions.

  • CME, CFTC rule conflict could end invoice spread market

    Invoice spreads, --typically an interest rate swap against a futures contract-- could see a liquidity decline after the US Commodity Futures Trading Commission’s next swap execution facility package trade exemption expires in November.

  • WPP shines with €750m 12 year, despite economic gloom and Scotland

    WPP, the UK advertising group, launched its first bond of the year today, hitting the market without warning and raising €750m. The strong reception to the deal suggested investors were not worried about buying into a company in a cyclical industry, despite Europe’s economic weakness, nor into a UK name, in the week that Scotland may vote to break up the union.

  • Coke gulps €2bn on first euro visit, pricing close to Pepsi and P&G

    The Coca-Cola Co issued its first bond in euros today, and chose like several other blue chips recently to launch a big, dual tranche deal, highlighting the euro market’s attractiveness to international borrowers.

  • Funds eye RV trades around index roll

    Hedge funds are looking to implement relative value trades on European indices, going long iTraxx Main and shorting the Eurostoxx 50 or long CDX investment grade and short S&P500, expecting synthetic credit indices to outperform stocks around the roll of the iTraxx and CDX indices on September 22.

  • ISDA extends credit definitions protocol deadline

    The International Swaps and Derivatives Association made an eleventh hour decision to extend the deadline for market participants to sign up to its credit derivatives definitions protocol on Friday, after ISDA was flooded with last minute adherents and market participants calling for more time.

  • Former Blackrock MD and co-head joins Carlyle’s mid-market fund

    Michael Hart will join Carlyle as managing director and president at Carlyle GMS Finance, which invests in US mid-market companies.

  • P4U, Scottish referendum will not close HY market, bankers claim

    European high yield bond issuance will continue despite the sudden bankruptcy of Phones 4U and Thursday’s referendum on Scottish independence, syndicate officials said on Monday. But new deals are unlikely to emerge before the end of the week.

  • Hoist sets dates for European roadshow

    Hoist Finance, a Swedish financial firm, will start four days of investor meetings on Tuesday before a planned euro bond debut.

  • Amundi hires high yield head to build up US

    Kenneth Monaghan has joined Amundi, the French asset manager, from Rogge Global Partners, intends to start offering US and international high yield products alongside its euro high yield portfolios.

  • Lenders weigh up Bestway's merits for £725m Co-op loan

    Leveraged finance lenders are assessing the structure and leverage of Bestway, the UK food wholesaler that is buying Co-op Pharmacy’s owner, after a bank meeting on Friday to market a £725m loan for the acquisition.

  • Phones 4U collapse sends investors rushing to check retail exposure

    High yield bond investors are reassessing their exposure to retail and consumer companies after Phones 4U’s shock collapse.

  • Rhodes Food opens books

    South African prepared meal firm Rhodes Food opened books on an IPO on Monday that could value it at around R1.1bn ($99.7m).

  • Refinancings continue with €1bn deal for Austria's Borealis

    Borealis, the Austrian chemicals and fertiliser producer, has refinanced its €1bn five year revolving credit facility, originally signed in 2012, pushing the maturity out to 2019, with an additional two year extension option.

  • Emaar hopes to get premium in malls float

    Emaar Malls began bookbuilding on its up to $10.3bn IPO on Sunday, hoping to command a premium to its net asset value through the deal.

  • AngloGold pulls restructuring plan

    South African gold miner AngloGold Ashanti has pulled a plan that would have seen it launch a $2bn capital raise alongside a wholesale restructuring after investors balked at the plan.

  • Synthos set to bring first Polish bond since June

    Synthos SA, a leading manufacturer of chemical raw materials in Central and Eastern Europe, is meeting investors for its debut bond.

  • Nordea and Atradius expected in quiet week

    Nordea and Dutch insurance company Atradius are expected to hit the market on Tuesday, providing supply in what could be an otherwise quiet week for financial issuance. Many issuers are already well funded for the year and the potential volatility from a Federal Reserve meeting on Wednesday and the Scottish independence vote on Thursday is likely to keep borrowers out of the primary market, according to syndicate managers.

  • Volkswagen set for swift return to busy auto market

    Volkswagen has gained provisional ratings for its second auto lease securitization of the year, just days after printing a large sterling auto ABS. The deal extends a busy post-summer period for a European auto ABS market whose investors are already casting their eyes over FirstRand Bank’s latest offering this week.

  • Long term fears for Russian borrowers as US sanctions restrict capital market access further

    The US unleashed further sanctions against Russia on Friday afternoon, following the EU on Thursday. The rouble was hit as a result and concerns are growing that if the sanctions continue beyond 12 months, corporate growth in Russia may be impacted as new Russian names were added to the US's sanctions list.

  • NIPs up as CEEMEA turns chilly, but borrowers not frozen out

    CEEMEA bonds are performing weakly after US Treasuries sold off on Friday, which will leave borrowers needing to offer bigger new issue premiums, said bankers. But no panic in setting in, certainly not compared to the volatility over the US Federal Reserve's unwinding of its quantitative easing programme of January this year.

  • Sparebank 1 hits Swiss market

    Norwegian savings bank Sparebank 1 SR-Bank is set to make a rare appearance in Swiss francs on Monday afternoon, tapping a four year note. The trade is expected to draw good demand despite coming at an aggressive level, owing to the rarity of Norwegian risk in Swiss francs.

  • Sesa Sterlite hunts for $500m with four

    Vedanta subsidiary Sesa Sterlite opened a $500m refinancing loan into general syndication on September 12, following a senior phase that saw National Bank of Abu Dhabi and CTBC Bank join original mandated lead arrangers and bookrunners ICICI Bank and Standard Chartered at the top level.

  • UniCredit steps up SME ABS with agency help

    A €1.3bn transaction from UniCredit’s leasing business has kept Europe’s spotlight firmly on SME ABS as the market awaits further details of the European Central Bank’s purchase programme, with the bank saying the proceeds will go towards financing more Italian companies.

  • Burgan Bank still looking for perp this week despite ENBD struggles

    Kuwaiti Burgan Bank is still looking for an opportunity to print its tier one perpetual note this week Emirates NBD's $500m perpetual — a comparable deal from Wednesday — having fallen 1.5 cash points in secondary trading since it was priced.

  • Cagamas Global debut CNH helps local Malaysian investors

    Cagamas Global, a wholly-owned offshore subsidiary of Cagamas, the Malaysian national mortgage corporation, priced its debut renminbi denominated three year bond at 3.70% late September 12. Investors showed great interest in the new name, as the total book size was over Rmb4.6bn ($733m) from 87 accounts.

  • Indian Oil eyes C$600m loan

    Indian Oil Corp is back in the market, this time with a request for proposals for a C$600m ($541m) loan. The state owned refiner is understood to be seeking the money for the acquisition of a stake in a liquefied natural gas port in Canada and to refinance a Canadian dollar loan it company raised in February.

  • Korea Western Power caps dollar five year at $300m

    Korea Western Power (Kowepo) opened books for a five year dollar bond that is capped at $300m on Monday morning. The Reg S issue is getting good traction, with the order book standing at $750m by early afternoon.

  • Telling the credit story through cutlery

    When Loan Ranger finds out the details of bank meetings, conversation follows a predictable path. Talk is of margins, original issue discounts and tenors. Fascinating stuff, but it means one borrower’s deal can seem much like another’s at times.

  • SHK raises $130m through top-up placement

    Hong Kong’s Sun Hung Kai (SHK) raised HK$1.008bn ($130m) through a top-up share placement on Friday, in a deal that saw demand worth more than $200m come in from investors.

  • Turk Eximbank mandates for seven year, likely $500m

    Turk Eximbank has mandated Barclays, Citigroup, JPMorgan, MUFG and Mizuho Securities to arrange a seven year dollar bond. The deal will likely be around $500m, according to an origination official on the deal.

  • CDB debuts London dim sum as UK ramps up RMB biz

    China Development Bank raised Rmb2bn ($325m) from a dim sum bond issued in London on Friday on a day that saw a raft of announcements intended to boost the use of offshore renminbi in the city as bankers and policymakers took part in the 6th UK-China Economic Financial Dialogue.

  • Indonesia's MPM gets plenty of torque for dollar debut

    Auto company Mitra Pinashika Mustika (MPM) priced its inaugural international bond on Friday. Offering diversification value and riding on the positive sentiment surrounding Indonesia, the five year non call three issue pulled in an order book that was seven times subscribed.

  • Chong Hing Bank joins Asia AT1 pipeline

    Hong Kong’s Chong Hing Bank will be meeting investors this week for a proposed additional tier one (AT1) bank capital issue. If successful, the deal would be not only Asia’s second dollar Basel III AT1 transaction but also the borrower’s first international issue in almost four years.

  • Alibaba $21.1bn IPO covered, books to close early

    Alibaba Group’s jumbo $21.13bn New York IPO is fully covered one week into the bookbuilding process, with the company now looking to close the deal ahead of the scheduled date. It is also considering selling the shares at higher level.

  • Allen Rad leaves RBS

    Alllen Rad has left RBS where he had been head of covered bond trading since 2008.

  • Equity market awaits chunky COFCO $1.6bn acquisition deal

    COFCO Land Holdings is set to make a comeback to the equities and debt market to fund its HK$12.46bn ($1.61bn) acquisition of property companies owned by its parent COFCO Corp.

  • CRE seeks HK$8bn in two currencies

    Hong Kong listed China Resources Enterprise (CRE) is back in the market for an HK$8bn ($1bn) dual tranche facility to refinance existing debt. The company is expected to wrap up the fundraising as a club loan, with a consortium that will feature most of its relationship lenders.

  • AXA IM adds two to Asian fixed income

    AXA Investment Managers (AXA IM) has further strengthened its Asian fixed income team with the appointment of two new managers.

  • Sinopec nets $17bn with retail stake sale

    China Petroleum & Chemical Corp has sold a 29.99% stake in its retail unit to a total of 25 investors, netting a whopping Rmb107.094bn ($17.42bn). But the company’s shares took a hit on Monday morning, falling by more than 6% at the time of writing.

  • Argentina sovereign default could claim Clisa as victim, says S&P

    Argentine industrial conglomerate Clisa (Compañía Latinoamericana de Infraestructura & Servicios) is looking to push out its bond maturities with a debt exchange that Standard & Poor’s says it not distressed, but could lead to a missed default partly to the sovereign’s recent missed payment.

  • ICBC targets biggest Lion City offering with dual listed dim sum

    Industrial and Commercial Bank of China (ICBC), China’s biggest state-owned bank and Singapore’s renminbi clearing bank, has opened books for its Singapore and Taiwan dual listing RMB bond. The multi tranche deal of two, five and seven years will mark the bank’s debut Formosa bond, and the borrower is also hoping to make it the biggest Lion City bond to date, targeting a size of Rmb4bn ($652m).

  • Franshion closes HK$4bn deal with four joining in general

    Allocations are out for Chinese real estate company Franshion Properties’ HK$4bn ($516m) three year dual currency loan that was launched in May to back plans for listing its hotel assets on the Hong Kong Stock Exchange. The deal took a while to close as the borrower’s sector was not a popular one among lenders, said bankers.

  • SSAs hot on renminbi as UK throws hat into ring

    The UK government announced on Friday that it was planning to sell an offshore renminbi bond, which would make it the first sovereign outside China to do so. A slew of supranational and agency issuers have been drawn to the market this week following favourable moves in the dollar/renminbi basis swap.

  • Hong Kong sukuk opens dim sum and mainland China markets, says HSBC’s Haneef

    Hong Kong’s landmark sukuk comes with a host of potential benefits for the wider Islamic finance market, Rafe Haneef, chief executive of HSBC Amanah Malaysia in Kuala Lumpur told IFIS. The deal’s success should help encourage other regional sovereigns to consider sukuk, but also has valuable implications for the dim sum and mainland Chinese markets.

  • TeraExchange launches bitcoin derivs trading

    Swap execution facility TeraExchange has launched the first regulated platform for bitcoin derivatives and a spot bitcoin price index in response to growing demand from global merchants, payment processors, miners and hedge funds for an efficient hedging tool.

  • Morgan Stanley hires from CS for levfin

    Morgan Stanley has hired a levfin and sponsors banker from Credit Suisse, say sources familiar with the situation.

  • FatFace launches £210m senior secured loan

    UK clothing company FatFace has launched a £210m refinancing loan that it will use to extend its loan maturities, refinance debt and repay shareholder funds.

  • EU sanctions on Russia declared a "non-event" in the capital markets

    Primary and secondary bond markets held steady on Friday as the European Union's new round of sanctions against Russia took effect.

  • IDB deal heralds growth for Nigerian derivatives

    Nigerian interdealer broker Parthian Partners has signed a joined venture agreement with global interdealer broker Tullett Prebon, which could boost liquidity in the country’s interest rate derivatives and non-deliverable forwards.

  • RMB round-up: September 12, 2014

    In this round-up, Argentina is reported to have received the first tranche of an RMB swap line, RMB clearing in Hong Kong falls by 5%, Standard Chartered’s RGI index sees slower growth, Russia and China closer to indipendent messaging system, and Chicago’s CME signs MoU with Shanghai Clearing House.

  • Never mind the size, feel the quality, say Ghana leads

    Ghana's lead managers defended what looked like a low multiple of oversubscription on the sovereign's Thursday $1bn bond deal as they released the final book size, pointing to the quality of the orders received.

  • RMB use to jump in next five years, says Aite Group

    A report released on September 10 by Aite Group, a Boston-headquartered independent research and advisory firm, says that use of the renminbi in trade finance will increase sharply over the next three to five years, despite domestic regulatory restrictions continuing to hamper the prospects for the RMB as an investment currency prospects.

  • PetroVietnam picks two to lead $200m loan

    Vietnamese oil and gas firm PetroVietnam has picked two banks to lead a $200m fundraising that is likely to open into general next week.

  • China Auto Rental raises $468m, triggers clawback

    China Auto Rental (CAR) has priced its HK$3.62bn ($468m) Hong Kong IPO at the top of the range, in a deal that saw the retail portion more than 160x oversubscribed.

  • SHK out with $132m top-up placement

    Hong Kong’s Sun Hung Kai (SHK) opened books at midday on Friday, September 12 for a HK$1.024bn ($132m) top-up share placement, with wall-crossing efforts by the bookrunners over the week leading to the deal launching fully covered.

  • UOB makes solid return with rare dollar senior notes

    United Overseas Bank (UOB) made a return to the dollar market on Thursday, pricing a $500m 5.5 year issue. It was the Singaporean borrower’s first issue of dollar senior notes in more than two years and that fuelled investor appetite despite the presence of similar supply in the market.

  • IDFC raises $164m through fixed price QIP

    India's Infrastructure Development Finance Company (IDFC) has raised Rp10bn ($164m) through a qualified institutional placement, in a deal that saw demand come in from around 30 domestic accounts.

  • Cagamas Global to raise Rmb1.5bn from debut CNH bond

    Cagamas Global, a wholly-owned offshore subsidiary of Cagamas, the Malaysian national mortgage corporation, opened books for its debut renminbi-denominated bond on the morning of September 12 in what is being seen as a show of support from the Malaysian government for the internationalisation of the RMB.

  • ICICI prices landmark $500m 5.5 year bond

    ICICI Bank took the market by storm on September 11 by pricing a $500m 5.5 year deal with a coupon of just 2.5% – the lowest ever achieved by an Indian lender.

  • EGL and China Nonferrous dig for HK IPOs

    Travel company EGL Holdings is seeking a listing on the Hong Kong Stock Exchange and has a filed a preliminary prospectus with the regulator.

  • Kia Motors issues RFP for $578m ten year loan

    South Korean automobile manufacturer Kia Motors Corp has sent out a request for proposals for a $578m ten year loan to finance the setting up of new facilities in Mexico.

  • Indonesia's MPM brings 5NC3 to HY dollar market

    Mitra Pinashika Mustika (MPM) opened books for its debut international bond on Friday. The Indonesian auto company is offering a Reg S dollar denominated five year non call three deal.

  • Total Derivatives: CNY offered on data; 5y to correct?

    Weaker than expected Chinese inflation data backed receiving in CNY swaps on Thursday. Recent outperformance in five years is expected to be unwound, steepening the 2s/5s slope heading into the end of the quarter, writes Deirdre Yeung of Total Derivatives.

  • Outstanding Contribution Award: Blythe Masters

    GlobalCapital’s annual Global Derivatives Awards in London on September 18 will honour the people, companies and deals that shaped derivatives markets over the last year. Among those winners will be Blythe Masters of JP Morgan, winner of the Outstanding Contribution Award. Ahead of the gala evening, Masters granted a rare interview to GlobalCapital’s Beth Shah to talk about her life and extraordinary career.

  • RBS's DCM strategy review delivers high profile promotions and departures

    Royal Bank of Scotland announced the new structure for its European debt capital markets business on Tuesday, following a review since April by Richard Bartlett, its head.

  • VIX change spells end to weekly roll vol strategy

    Front month CBOE Volatility Index futures may experience a 1 vol point increase from -0.33 to 0.66 pts on Monday roll dates relative to historics, due to recent changes made to the indices methodology, closing off a strategy systematic volatility traders have been using to capitalise on the weekly “seasonality” effects of the roll.

  • Market correction for latest agency risk-sharing RMBS

    Freddie Mac's seventh risk-sharing RMBS, which priced on Wednesday, is expected to settle in a more stable market than earlier issues under the program, which widened drastically last month.

  • Price tension hits LatAm but new deals pull through

    Latin American borrowers selling new bonds in a market that appears to be backing up after a strong summer could be a sign that issuance conditions are only going to get worse, DCM bankers said on Thursday.

  • BTG defies Brazil boo-boys as AT1 perp hailed

    Privately owned investment bank BTG Pactual sold only the second ever Basel III-compliant tier one bond from Brazil on Thursday, with the execution and pricing attracting a level of effusive praise rarely heard from rival bankers.

  • Axtel tap offers point pick-up, defying downgrade

    After two debt exchanges classed as distressed, resulting in two defaults in 2013, Mexican telco Axtel looks to have convinced bondholders of its turnaround.

  • New York CLO manager moves to Volckerise deal

    One of the largest CLO managers in the US has sent out a proposal to make a legacy deal from 2012 complaint with the Volcker rule, according to people familiar with the situation.

  • Cross Keys brings first housing association green bond

    Cross Keys Homes, a housing association based in Peterborough, issued a £150m bond on Monday that was marketed specifically to environmental, social and governance-driven investors.

  • CBOE, C2 in talks with FINRA for reg services agreement

    The Chicago Board Options Exchange is in talks with the Financial Industry Regulatory Authority regarding an agreement for FINRA to provide certain regulatory services to the CBOE and C2 options markets.

  • Sanef’s holdco HIT raises €450m, loses premium over Abertis

    Holding d’Infrastructures de Transport, the holding company of Société des Autoroutes du Nord-Est de la France, the French motorway operator, returned to the bond market after a two and a half year break on Wednesday for a €450m deal.

  • Morgan Stanley in final SEF agency service development push

    Morgan Stanley is in the final development stages of its swap execution facility agency service and should launch the platform in the coming months.

  • Risk retention could halt CLO issuance 'overnight' but benefit investors

    Upcoming risk-retention rules for securitization in the US could lead CLO issuance, which hit almost $80bn this week, to grind to a halt almost overnight, according to several market participants who took part in a roundtable organised by GlobalCapital this week.

  • P2P lenders amass for securitization pitch

    Lending.com, a peer-to-peer lender that launched earlier this year, expects the first securitization of its single-family property rehab loans to hit markets in eight months. The company is one of many peer-to-peer lenders flocking to the ABS East Conference later this month to plan issuance in the high-yielding asset class.

  • Intesa Sanpaolo EUR1bn 3.928% Sep 26 T2

  • Swiss Re USD500m 4.5% Sep 44 Sub

  • JP Morgan EUR1.5bn 1.375% Sep 21

  • Zurich Insurance EUR500m 1.75% Sep 24

  • Macquarie Bank EUR500m 1% Sep 19

  • Sampo EUR500m 1.5% Sep 21

  • NWB Bank USD1.5bn 1.25% Sep 17

  • Hannover Re €500m 3.375% Perp NC10 Sub

  • AFD EUR1bn 1.375% Sep 24

  • People Moves in Brief

    Ellison joins Lloyds - Bayview plans CLO push - Nomura hires Steel for EQD - Spire appoints Reynolds CIO

  • Cades EUR5bn 1.375% Nov 24

  • BPCE pays up before AT1 steals show

    The US FIG market returned to normality after the deluge of the previous week’s supply subsided.

  • Too little, too late from the UK government?

    It could all have been avoided so easily. Before the Scottish independence referendum became a reality, opinion polls showed Scots were heavily in favour of more powers for their parliament, including raising cash through tax or debt.

  • Scotland's banks hope for No vote

    Few have been more vocal in their opposition to Scottish independence than the country's own banks. Royal Bank of Scotland may share a name with the country, but that seems to be an end to its patriotism. Not surprising when banks domiciled in an independent Scotland would have to contend with higher risk weightings on their assets and an inflated cost of funding.

  • Covered bond investors gorge before ECB

    Covered bond issuers priced 10 benchmark sized deals this week, raising €11bn on the back of an aggregate €26bn of demand. Average order book sizes were boosted after the European Central Bank announced last week its intention to proceed with a third covered bond purchase programme.

  • Barclays and Danske take £2bn from sterling investors

    The covered bond market for sterling FRNs picked up on Monday as Barclays priced the largest ever deal in the currency and Danske Bank priced a benchmark. The two borrowers follow Nordea Eiendomskreditt, which attracted robust demand last week.

  • Corporate investors hold nerve, but Scots poll delays deals

    UK corporate credit markets are holding steady in the face of the alarming rise in polls suggesting Scotland could vote to become independent.

  • Scotland uncertainty raises contagion prospect

    As Scotland prepares to vote on September 18 opinion polls show the referendum is too close to call. One way this could impact the public sector markets is if other regions that have campaigned so far unsucessfully for independence from their sovereigns, such as Spain’s Catalonia, take courage from Scotland's attempt to try for themselves.

  • Barnier tackles bonuses as UK tries to scrap cap

    Michel Barnier, the outgoing European internal market commissioner, asked the head of the European Banking Authority to chase down banks using allowances to pay their bankers, thereby evading restrictions in the Capital Requirements Directive which are supposed to limit bonuses. Meanwhile, the UK had another hearing at the European Court of Justice to try to strike out the restrictions entirely.

  • Covered investors could shift to ABS on ECB backing

    Covered bond investors that have long shunned the European ABS market may be among the first buyside participants to be drawn back into securitization as yields in their market are squeezed even tighter by the European Central Bank’s impending purchases, bankers told GlobalCapital this week.

  • ECB lack of detail clouds pipeline in European ABS

    A strong September pipeline of European ABS transactions could face delays as issuers wait for more detail from the European Central Bank on its impending asset purchases, though those that do decide to pull the trigger should have no problem with execution, bankers said this week.

  • The ECB effect: Banif SME deal to test new bid for periphery ABS

    Portuguese lender Banco Internacional do Funchal (Banif) has launched a securitization of Portuguese SME loans that will include a sale of triple-B rated debt, in an immediate test of whether the European Central Bank has managed to stimulate a new wave of appetite for periphery ABS with last week’s promise to buy up bonds.

  • Leak: The French are coming

    After three years away in the desolate East (well, Hong Kong) Frenchman Edouard Freton has for some reason returned to Europe, although he couldn’t quite make it all the way home.

  • Hannam’s boutique firm rebrands

    Ian Hannam and Neil Passmore’s EM boutique firm Strand Partners has rebranded as Hannam & Partners, folding an existing clutch of businesses together but reaffirming its business strategy.

  • The ECB must buy mezz

    The European Central Bank has finally put its money where its mouth has been for some time on reviving European securitization. But if it doesn’t help banks shift the riskiest tranches off their books, it will have changed absolutely nothing.

  • No more size anxiety about the ECB

    Some market commentators seem to think the European Central Bank's ABS purchase programme is not the real deal, because it will be limited in size by the low volume of placed securitizations and the difficulty of pricing off-market deals. One research team estimates the ECB might buy €40bn over three years. But this seriously underestimates the potency of the ECB’s move.

  • Amtek trapped in the tides of uncertain levfin markets

    German automotive engineering company Amtek has endured a torrid time since launching its €305m leveraged loan last July amid unkind markets.

  • GM drives inside VW as sterling goes Turbo

    GMAC UK has guided investors in the senior notes of its E-Carat 4 sterling auto ABS to a price level 1bp inside a similar transaction done last week by Volkswagen, which normally represents the very tight end of the European auto ABS market.

  • German pair draw solid demand despite no new issue premium

    Aareal Bank capitalised on the momentum created by the two successful French deals issued through mid-swaps on Monday and Tuesday by bringing forward plans to issue a euro-denominated Pfandbrief. It opened books on a three year deal on Wednesday rather than waiting until next week.

  • HSBC restores AT1 hopes ahead of hectic Q4 for capital

    Less than a week after mounting concerns that investors were turning away from additional tier one debt, HSBC’s standout trade on Wednesday showed that AT1, a crucial element of banks’ post-crisis capital structures, was firmly back in play. With $30bn of demand across the UK bank’s euro and dollar tranches, the stage is set for more lenders to issue the product, writes Nathan Collins.

  • Euro rules as BSkyB, Vodafone, Total show market’s depth, appeal

    Europe’s corporate bond market delivered on bankers’ and investors’ hopes this week, as issuers belted out €13.2bn of deals, pushing this week — by a €20m margin — into the top 10 of the market’s busiest weeks ever.

  • Lock-up expiries promises equity party but picky investors may crash issuers

    A $900m sale of stock in cleaning services giant ISS on Monday could be the first of a splurge of supply in the blocks market as lock-ups expire and vendors become free to sell stakes in companies they floated in H1. But investor jitters could mean that the demand might not there to meet them when they arrive, writes Andrew Griffin.

  • Investors scramble for dwindling SSA supply

    Sovereign, supranational and agency borrowers this week enjoyed conditions that smacked of the exuberance of 2006 and 2007, but those issuers wanting to take advantage of supply-starved investors next week will have only a narrow window — as a Federal Open Market Committee meeting, a holiday in Japan and Scotland’s vote on independence will make opportunities for issuance few and far between.

  • Ghana prices $1bn bond as IMF talks continue

    The Republic of Ghana returned to the international bond markets on Thursday, pricing a $1bn 2026 amortising bond to yield 8.25%, despite worries about the country's fiscal position and a weakening currency.

  • ECB could swell ABS fee wallet

    The ECB’s ABS purchase programme could mean a huge stream of new fee income for investment banks with strong securitization divisions in Europe, writes Owen Sanderson

  • European leveraged issuers need to watch out for the US

    European leveraged loan issuers expect the good times to keep rolling this autumn. But issuers considering cross-border transactions should be cautious. Domestic supply is building in the US and this could mean lenders push back on margins.

  • CFF and Caffil smash Euribor barrier with staggering demand

    The covered bond market passed another milestone this week with Caisse Française de Financement Local (Caffil) and Compagnie de Financement Foncier (CFF) attracting book sizes that were reminiscent of the high yielding peripheral transactions seen a year ago, but at spreads well through mid-swaps.

  • Arcelik euro bond opens door for elite sub-IG EM corporates

    White goods company Arcelik priced the first ever sub-investment grade emerging market euro deal with no high yield covenants on Wednesday. While bankers claim the deal paves the way for more Turkish corporate deals with no covenants, they admit that only an elite group will be able to follow.

  • Travis Perkins makes bond debut as Scots referendum fears unsettle UK markets

    UK building materials distributor Travis Perkins on Monday set the final yield at 4.375% on its debut £250m seven year bond, just as the sterling bond market braced itself for the impact of a potential Yes vote in the Scottish independence referendum.

  • Investment grade syndicated loans, news in brief, September 12, 2014

    Dana Gas — Luossavaara‑Kiirunavaara

  • TEF launches long-awaited mando to fund E-Plus buy

    Spanish telecom firm Telefónica raised €1.5bn through a long-awaited mandatorily convertible bond on Wednesday night, the last part of a suite of financing for a takeover.

  • Russian syndicated loans set to come under sanctions from Friday

    The European Union and the US are poised to enforce new sanctions on Russia today (Friday), leaving the loan market shut to larger transactions until the end of the year. Smaller club deals may, however go ahead.

  • IFC offers green bonds to US retail; mandates RMB for next week

    US retail investors have been piling in orders for the International Finance Corporation’s green bonds this week after it offered the notes for the first time through its US retail channel. Meanwhile, it has mandated banks for a London-listed offshore renminbi bond set to be priced next week.

  • Rocket Internet IPO amid e-commerce scramble

    Rocket Internet, the German firm which incubates new online retailers, launched a €750m IPO on Wednesday amid a stream of new listings from e-commerce firms.

  • Three currencies not a crowd for MetLife

    Metropolitan Life hit screens with a trio of senior unsecured deals on Wednesday morning, looking to print in euros, Australian dollars and Swiss francs. Strong appetite for insurance company paper helped assure it of a warm reception for its euro and Aussie deals, with the francs yet to conclude.

  • Poland in Swissies after two year absence

    Poland made a rare visit to the Swiss franc market this week, printing a seven year bond — its first issue in the currency since 2012 — that offered no concession to its Swiss franc curve. Despite this, bankers are not preparing for a rush of sovereign, supranational or agency issuance in the currency in the coming weeks as issuers can fund at very attractive levels in euros and moves in the euro/Swiss franc basis swap are stymieing issuance opportunities for euro-funders.

  • AFD breaks records with climate bond at long end of the curve

    Agence Française de Développement this week became the first supranational or agency issuer to raise €1bn with a green new issue in euros at the long end of the curve, while the European Investment Bank priced a tap of a November 2026 Climate Awareness Bond in Ecoop format. That came just a week after it sold the original deal, which is its longest benchmark Climate Awareness Bond in euros.

  • Leveraged loans, news in brief - 12 September 2014

    Delachaux - Co-op Pharmacy - Corialis - Averys - HSE24 - WMF - Cheminova

  • Allianz shows insurance appetite after busy week

    Allianz continued a strong run of deals for insurers on Thursday, drawing a large order book for a perpetual trade. Attractive levels compared to bank bonds are driving the trades, according to syndicate managers.

  • ADB prints first C$ seven year tenor

    Asian Development Bank has hopes of printing in Canadian dollars again soon, having this week sold its first deal in the currency in over seven years and its first debut seven year deal in Canadian dollars.

  • Andean duo lend more weight to LatAm pipe

    Chilean bank CorpBanca and BBVA’s Peruvian arm began investor meetings on Thursday as the September rush to market gathered pace in Latin America.

  • Sharjah soars to inaugural sukuk success

    The Emirate of Sharjah sold a $750m inaugural sukuk to a $7.8bn order book on Wednesday. The borrower brought in a host of conventional accounts in addition to a strong local bid, and watched its bond tighten 6bp in the secondary market despite pricing some 20bp-45bp inside the curves of regional comparables, according to debt bankers on the deal.

  • Lufthansa passes Ryanair test as local demand sends €500m bond ultra-tight

    Deutsche Lufthansa, Germany’s national airline, launched its first bond since 2009 on Friday September 5, at the remarkably tight spread of 75bp over mid-swaps — showing just how valuable a loyal following of domestic investors can be.

  • Emirates NBD perp AT1 under fire from bankers

    Emirates NBD sold a $500m tier one perpetual non-call six bond on Wednesday. It was priced flat to the borrower’s existing Basel II compliant note but bankers away from the deal said that it looked to have struggled throughout the execution process.

  • ADCB takes advantage of slimming ME spreads

    Abu Dhabi Commercial Bank returned to the dollar market on Tuesday and made a 50bp saving at the five year part of its curve. Middle Eastern spreads have come flying in over the past year and bankers said that the bond came at the tightest possible level.

  • Banking union hangs in balance, hears UK Lords

    If it works, banking union could be the turning point for crisis management and the architecture of regulation and supervision in Europe, the UK’s House of Lords heard on Tuesday.

  • Equity capital markets, news in brief — September 12, 2014

    Telefónica Deutschland — Elis — Attica Bank — Saf-Holland — Norway — Portugal — Gamesa

  • Bahrain builds curve out to 30 year with one eye on infrastructure

    The Kingdom of Bahrain set a benchmark for its borrowers to follow when it issued the country’s first 30 year bond this week. Movements in the underlying US Treasury market sidelined some emerging market accounts but a final book of almost $6bn ensured a minimal new issue premium for a bond providing an important reference point for Bahraini project finance.

  • AngloGold plots cap hike, spin-off amid plunging prices

    Global mining giant AngloGold Ashanti has laid out a comprehensive reorganisation plan that that will include a $2.1bn capital raise to help it deal with the damaging effects of the depressed price of gold.

  • Aurizon feeds Europe’s thirst for Aussie infra bonds

    Euro investors lapped up a second helping of Australian infrastructure bonds on Thursday, placing more than €3.1bn of orders for an inaugural 10 year deal from rail freight operator Aurizon.

  • Fx vols finally return as Scottish referendum flows spike

    Fx volatility, particularly in sterling, has increased on the back of increased options trading due to the uncertainty of the outcome of the upcoming Thursday Scottish referendum. This comes following months of historically low fx vols and a continued slump in trading volumes.

  • Investors turn to EU CDS as proxy Russian hedge

    Hedge funds and asset managers with exposure to Russian banks have been buying credit default swaps on EU companies with exposure to Russia, implementing a proxy hedge in light of new sanctions against Russian reference entities, writes Hazel Sheffield, just as one law firm warned of the perils of trading CDS on the country's credits.

  • Muhyp to issue first ethical Pfandbrief

    Germany is once again leading the way in covered bond innovation. After issuing the first SME backed deal and the first Pfandbrief backed by aircraft loans, Münchener Hypothekenbank (Muhyp) this week announced the first Pfandbrief backed by environmental and social governance (ESG) mortgage loans.

  • Air France sells Amadeus block to rehabilitate name

    Air France sold a €125m stake in Amadeus, which makes IT systems for holiday firms, on Tuesday night, bringing a successful deal after a high profile failed trade in the name in 2012.

  • Total chooses euros for its biggest bond, harvesting €2.5bn

    Total priced its biggest ever bond on Thursday, a €2.5bn dual tranche deal that included the French borrower’s first 15 year issue in euros since 2009.

  • US corp bond buyers punt $17bn but lesser issuers struggle for bids

    The investment grade market was a story of the haves and have-nots as investors showed signs of fatigue amid a deluge of supply.

  • ECB booster drives senior to success after success

    The senior FIG market enjoyed a barnstorming week in euros. A combination of a positive market tone following last week’s European Central Bank meeting and high levels of cash at investment houses allowed issuers to rack up large order books while pricing at competitive levels.

  • Simpler, less geared Lagardère raises €500m

    Lagardère, the unrated French media group, returned to the bond market on Wednesday with a successful €500m issue that showed how it has repositioned its credit as an investment grade issuer.

  • ECB purchases put Italian RMBS resales on hold

    Some Italian mortgage originators preparing to re-market retained RMBS transactions in the next few months have put their plans on hold, waiting to see if they can trim costs by selling them to the European Central Bank rather than on the open market.

  • Scatec sets range on solar float

    Norwegian renewable energy firm Scatec Solar set terms on its IPO on Thursday, which could value it at up to Nkr2.43bn ($383m).

  • Nyrstar follows bond with €250m cap hike

    Belgian mining and metals firm Nyrstar launched a €250m rights issue on Thursday that will help it refinance and upgrade its facilities, along with the proceeds from a bond sold earlier this week.

  • Electrolux gets loan, plans bond and rights

    Swedish kitchen appliance maker Electrolux has obtained a $3.3bn committed bridge facility for the full amount it agreed this week to pay for the acquisition of GE Appliances. The company plans to replace the facility gradually with $2.5bn of bonds and an $800m-equivalent rights issue.

  • Fees face the squeeze in ultra-competitive loans market

    Intense competition in the syndicated loan market has brought pricing down to almost pre-crisis levels. But margins are not the only area open to negotiation: fees are increasingly under pressure, too.

  • CDS notional begins increase following sizeable slump

    Overall credit default swap notional reported to swap data repositories last week increased 33% from the previous week, according to data form the International Swaps and Derivatives Association.

  • TEF launches long-awaited mando to fund E-Plus buy

    Spanish telecom firm Telefónica raised €1.5bn through a long-awaited mandatorily convertible bond on Wednesday night, the last part of a suite of financing for a takeover.

  • Munksjö Oyj signs €345m refinancing loan

    Finnish paper producer Munksjö Oyj has refinanced a €365m loan signed in May 2013 with a new €345m facility.

  • 1MDB delay dampens Malaysian IPO volumes as market loses spark

    Bankers that had been counting on a $3bn-plus IPO from 1Malaysia Development (1MDB) to boost volumes for the year had their hopes dashed this week, with the company now unlikely to list until the end of the first quarter of 2015. IPOs from the country have been few and far between this year, and 1MDB’s delay shows that bankers are too reliant on the government to revitalise the market, writes Rashmi Kumar.

  • WMF sets price guidance on €615m loan

    German kitchenware producer WMF has laid out price guidance on its €615m acquisition loan at a bank meeting this morning.

  • Hong Kong hits the sweet spot with $1bn sukuk debut

    Hong Kong put its distinctive stamp on the burgeoning international sukuk market this week, as the first non-Islamic Asian sovereign to tap the asset class. That novelty proved no obstacle, though, with the $1bn five year deal meeting an enthusiastic response and adding momentum to the city’s aspiration of becoming a regional Islamic financing hub, write Isabella Zhong and Rev Hui.

  • Iron Mountain ups sterling return to £400m

    Iron Mountain, the US data storage group, priced its first sterling bond for a decade in the middle of price guidance on Thursday.

  • GMAC drives sterling auto ABS inside VW

    GMAC UK has guided investors in the senior notes of its E-Carat 4 sterling auto ABS to a price level 1bp inside a similar transaction done last week by Volkswagen, which normally represents the very tight end of the European auto ABS market.

  • Asian equity news in brief, September 12, 2014

    Japan Post IPO to add to volumes — Brace for Impact with first Thai Reit

  • CME Europe appoints CEO

    Cees Vermaas, ex-ceo of NYSE Euronext Amsterdam, has been appointed managing director and ceo at CME Europe in London.

  • Great Wall reigns supreme with 10x subscribed bond

    The last of China’s four bad debt managers to tap the dollar market for funding, China Great Wall Asset Management Corporation, raised $500m with a 2.5% three year bond that was more than 10 times covered by investors.

  • Lean, profitable and looking for growth: Citi is back on the offensive

    The US bank’s cost-cutting and investment in senior bankers is paying off. Now it has more ambitious plans to close the gap on its rivals, writes David Rothnie.

  • Swedish loan collector Hoist to bring debut euro bond

    Hoist Finance, an unrated Swedish company that buys and works out non-performing consumer loans, has mandated banks for its euro bond debut, to be led by Danske Bank and SEB.

  • Cred Ag follows HSBC with third AT1

    Crédit Agricole is set to price its third additional tier one deal on Thursday afternoon. The print, the issuer's second in dollars, has drawn a granular order book, despite offering little premium over the issuer's outstanding debt.

  • VTB’s Solovyev optimistic on Asian business as Chunilal departs

    Russia’s VTB Capital has been making headway into Asian debt markets in an effort to keep its fixed income teams in London and Moscow busy during a sanctions enforced shutout from their usual hunting grounds. But even when normality returns the bank will remain committed to its Asian operations, and is hoping for more mandates from Asia — and potentially Africa — later in the year, Andrey Solovyev, global head of DCM at VTB Capital told GlobalCapital Emerging Markets.

  • Insurance appeal builds with Allianz

    Allianz continued a strong run of deals for insurers on Thursday, drawing a large order book for a perpetual trade. Attractive levels compared to bank bonds are driving the trades, according to syndicate managers.

  • First time conventional accounts help Sharjah to debut sukuk success

    The Emirate of Sharjah sold a $750m inaugural sukuk off a $7.8bn order book on Wednesday. The borrower brought in a host of conventional accounts in addition to a strong local bid, and watched its bond tighten 6bp in the secondary market despite pricing some 20bp-45bp inside the curves of regional comparables, according to debt bankers on the deal.

  • EDP hits €1bn jackpot at tight new issue concession

    Energias de Portugal, the Portuguese electricity and gas company, issued its largest public bond since March 2010 on Thursday, after attracting more than €2.7bn of demand from across Europe.

  • Italian RMBS re-sales put on hold by ECB

    Some Italian mortgage originators issuers preparing to re-market previously retained RMBS transactions in the next few months have put their plans temporarily on hold, preferring to wait and see if they can trim costs by selling them to the European Central Bank rather than the open market.

  • IMF talks buoy support for Ghana

    The Republic of Ghana has released guidance for its new dollar 2026 offering as it continues talks with the International Monetary Fund (IMF).

  • Celanese sells €300m euro HY debut at just 3.25%

    US chemical company Celanese Corp priced its first high yield bond in euros, a €300m five year bullet, at the tight end of guidance on Wednesday.

  • Bahrain builds out curve to 30 years with eye on infrastructure

    The Kingdom of Bahrain planted a new fixed income flag for its borrowers to follow in the form of the country’s first 30 year bond. Movements in the underlying US Treasury market sidelined some emerging market accounts looking to buy the deal but a final book of almost $6bn ensured a minimal new issue premium for a bond that provides an important reference point for Bahraini project finance.

  • Will they, won’t they? Russian loans on ice amid sanctions uncertainty

    As stronger EU sanctions continue to dangle over Russia by a thread, bankers say the international market for Russian loans is closed until the end of the year. The sanctions package could come into force on Friday.

  • Al Noor owner leaps through post-lock up window

    Ithmar Capital sold an £88m stake in Abu Dhabi healthcare firm Al Noor on Wednesday night, taking the first opportunity since a lock-up period ended just before the summer lull to further reduce its stake.

  • Favourable terms for all as Dusit sells $311m CB

    Bangkok Dusit Medical Services Public Company has become the second Thai group to tap the equity-linked market this year, raising Bt10bn ($311m) from a zero coupon convertible bond. The fact that the company’s shares have been rising consistently since the start of the year made it a hard story to sell, but the group still managed to offer favourable terms — for itself and for investors.

  • Loans news in brief, September 12, 2014

    Petron ups loan to $475m — PFC closes $250m — UAF gets HK$825m

  • Powerlong succeeds with 2nd dim sum attempt

    Powerlong Real Estate Holdings finally succeeded in tapping the dim sum market this week, raising Rmb1.5bn ($244m) via a 10.75% 2017 note on September 10. This was the issuer’s second attempt at a bond this year, having failed to price one in January.

  • When on tour, be careful what you eat

    To readers familiar with Chinese culture, happy mid-autumn festival. Once again, it’s that time of the year when sanity gives way to cultural wisdom and children are allowed to roam the streets with paper lanterns, otherwise known as fishing rods that are on fire.

  • Allocations out for Citic $1bn dual trancher

    Chinese state-owned conglomerate Citic has closed its $1bn dual tranche loan, with three banks coming in during general syndication.

  • King’s and Xinming cook up new Hong Kong IPOs

    Kitchenware products maker King’s Flair International Holdings and property developer Xinming China Holdings are both seeking to list in Hong Kong, having filed their respective A1s with the regulator.

  • Aristocrat $1.3bn loan targeted at US market

    Australian gaming products company Aristocrat Leisure plans to market its $1.3bn seven year senior secured term loan to US investors. The company is raising the money to fund its acquisition of US gaming operator Video Gaming Technologies and to refinance debt.

  • Breaking records: Alibaba opens jumbo $21.1bn IPO

    China's Alibaba Group has thrown open its long awaited $21.13bn New York IPO, with a deal that is likely to be not only the biggest US listing ever but could also break the record for the biggest IPO globally.

  • Asia ex Japan bond news in brief

    Pelindo III eyes maiden dollar bond — Indonesia's MPM seeks debut — Tata Comms looks to tackle dollar inaugural — FWD picks five for roadshows — IFC mandates three for dim sum — Honghua seeks international debut

  • Asia people moves in brief: September 11, 2014

    Barclays hires two for Asia DCM — Mizuho picks Asia fixed income sales head

  • Deutsche hopes to boost liquidity of Frankfurt RMB market

    After signing a memorandum of understanding (MoU) with Bank of China (BoC) on August 26, Deutsche Bank has become the first client to use Frankfurt's offshore RMB clearing service, for which BoC is the clearing bank.

  • Chunilal leaves VTB, but bank reaffirms focus on Asia

    Damian Chunilal, the CEO for Asia at Russian bank VTB Capital, has resigned from the firm. Judy Lim, the bank's Singapore head, is assuming the role of interim CEO, and GlobalCapital Asia understands that no decision has been taken on whether the bank will seek an external replacement, writes Mark Baker.

  • Reignwood uncorks $160m debut offshore syndication with one

    Chinese beverage manufacturer Reignwood Group has made its debut in the offshore syndicated market with a $160m loan. The facility, which has Credit Suisse as the sole bookrunner, comes backed by two guarantees from the company’s onshore operations.

  • Thin Q3 loans open window of opportunity for borrowers

    Asian offshore syndicated loans volumes have been running thin this quarter, thanks to stiff competition from the bond market and companies preferring to stay onshore amid ample liquidity. But the last few weeks have seen three borrowers make their offshore debuts, taking advantage of the lack of supply to get attractive pricing. Bankers say the time is ripe for lesser known issuers to venture into loans, writes Shruti Chaturvedi.

  • Emirates NBD perp comes under fire

    Emirates NBD sold a $500m perpetual bond on Wednesday. The bond priced flat to the borrower’s existing Basel II compliant note. However, bankers away from the deal said that it looked to have struggled throughout the execution process.

  • IDFC closes domestic investors-targeted QIP

    Indian financial services company IDFC is set to raise about Rp10.5bn ($173m) through a qualified institutional placement which is targeting just domestic investors.

  • Indian bank hybrid bond sales to retail investors could struggle

    Analysts expect a shift in Reserve Bank of India rules over additional Tier 1 capital to lead state banks to target deals at retail investors. But the volume of deal flow could overwhelm this budding buyside sector.

  • ICICI back for more dollars with 5.5 year bond

    ICICI Bank opened books for a 5.5 year bond on September 11, just four months after the Indian lender last tapped the dollar market for funding.

  • Latins Axtel, CMPC battle to bond success

    Mexican telco Axtel and Chilean pulp company CMPC clinched well received new issues on Wednesday as Latin America’s corporates push ahead with issuance despite apparent waning sentiment in bond markets.

  • CFTC eyeing fx during talks with clearinghouses

    The Commodity and Futures Trading Commission is in talks with US clearinghouses, discussing the possibility of making some fx derivatives contracts mandatorily clearable by either year’s end, or Q1 2015.

  • Santander and GM auto ABS rolls on amid investigation

    Auto ABS originators priced a slew of deals this week, as the industry continued to grapple with negative sentiment amid a regulatory probe into lending standards.

  • RBC hires from RBS for agency MBS

    Royal Bank of Canada has added to its growing securitization team, hiring a CLO trader from Royal Bank of Scotland’s shrinking securitization team.

  • OTC Regulators Group looks to resolve cross-border issues

    The over-the-counter Derivatives Regulators Group is looking at various approaches to resolve cross-border implementation issues, especially pertaining to organised trading platforms and how they can be regulated.

  • Credit Suisse to launch Monday SEF agency service

    Credit Suisse plans to launch its swap execution facility agency platform next Monday, which will facilitate SEF trading for the firm’s clients.

  • Fx vols return as G10 option flows spike

    Increased trading activity in the fx options market, particularly in G10 currency pairs, has resulted in a significant spike in volatility following months of low fx vols and trading volumes.

  • Jones Day beefs up securitization team

    Global law firm Jones Day has hired an expert CLO lawyer in London within a week of hiring a new high yield partner, and plans to add more partners as the structure finance markets expand.

  • Subprime credit card ABS unlikely to return

    High supply of credit card receivables and strong performance of past deals should lead to an increase in highly liquid credit card ABS issuance, despite the asset class being left out of the liquidity coverage ratio, said bankers on Tuesday. But a standalone subprime credit card market is unlikely to develop.

  • Simpler, less geared Lagardère returns for €500m bond at tighter spread

    Lagardère, the unrated French media group, returned to the bond market today after a two year absence with a successful €500m issue that showed how it has repositioned its credit as an investment grade issuer.

  • A2Dominion’s £150m retail bond sells out in 24 hours

    A2Dominion Housing, the UK housing association, has sold its second retail bond for £150m, closing the sale after just one day in the market – even faster than its previous blowout deal.

  • Senior FIG banker returns to market at Lloyds

    Rob Ellison will join the UK bank as head of global banks, reporting to Ed Thurman, head of financial institutions relationship management.

  • MX and Eris partner for Canadian interest rate swap futures

    Montreal Exchange has reached a licensing agreement with Eris Exchange to offer trading and clearing of Canadian swap futures and options as investors continue to explore the futurisation of swaps.

  • HSE24 brings €314m loan for dividend recap

    HSE24, the German shopping television channel, is marketing a €314m loan to refinance debt and pay a €94m dividend to its sponsor, Providence Equity.

  • Chunilal quits VTB; bank reaffirms commitment to Asia

    Damian Chunilal, the CEO for Asia at Russian bank VTB Capital, has resigned from the firm. The bank said that he was leaving to pursue other opportunities. Judy Lim, who was the bank's Singapore head, is assuming the role of interim CEO, and GlobalCapital Asia understands that no decision has been taken on whether the bank will seek an external replacement.

  • Investors set to switch options from Crossover to Sub Fin on roll

    Credit options on iTraxx Crossover and iTraxx Senior Financials indices may migrate to the subordinated financials index after the roll to series 22, due to new names in Crossover and greater protection in SubFin offered by new financials definitions.

  • Co-op Pharmacy readies £725m acquisition loan

    Co-op Pharmacy will hold a bank meeting this Friday to market a £725m loan that backs its buyout by Bestway, the UK food wholesale group.

  • Loans bankers bullish at LMA conference

    The Loan Market Association’s syndicated loans conference held on Tuesday, attended by over 850 people, was a bullish affair, with loans bankers confident that M&A activity will provide enough supply to take the place of the refinancing which has dominated the business so far this year. A full 68% of attendees thought that the syndicated loan market would grow by at least 10% in the next year.

  • Averys holds London bank meeting for €165m loan

    Averys, the French industrial shelving supplier, marketed its €165m refinancing loan at a bank meeting in London today.

  • Corialis launches €483m loan in euros and sterling

    Corialis, the Belgian aluminium products group, launched its €483m acquisition loan on Tuesday afternoon and will market the deal at a bank meeting on Thursday.

  • Moody’s brings bail-in to bank ratings

    Moody’s has proposed a new way to rate bank debt which takes bail-in into account. It has added a new term — “loss given failure” — into the credit analysis, to reflect the likely capital structure and waterfall of payments in a bank resolution.

  • Spire Partners hires CIO from 3i

    Robert Reynolds has joined Spire, the European leveraged debt asset manager, as chief investment officer and partner.

  • Rocket Internet launches IPO amid e-commerce scramble

    German firm Rocket Internet, which acquires new online retailers and helps them grow, launched an IPO on Wednesday amid a stream of new listings from e-commerce firms.

  • HSBC sails through AT1 debut

    Orders piled in on Tuesday and Wednesday for HSBC's first additional tier one (AT1) deal, a triple tranche trade denominated in dollars and euros. Bankers away from the deal, set to be priced on Wednesday afternoon, said the success of the deal was a positive sign for upcoming prints from Crédit Agricole and Nordea.

  • Poland prints first Swiss franc bond in two years

    Poland printed a seven year Swiss franc deal on Wednesday. The issuer visited the market — its first time since May 2012 — to refinance a five year bond in the currency set to redeem later this month, according to bankers in Zurich.

  • ECB detail vacuum clouds ABS pipeline in Europe

    A strong September pipeline of European ABS transactions could face delays as issuers wait for more detail from the European Central Bank on its impending asset purchases, though those that do decide to pull the trigger should have no problem with execution, bankers said on Wednesday.

  • Dana Gas secures $100m loans for development of Zora Field

    Sharjah-based natural gas company Dana Gas has secured a $100m term loan, including a Shariah compliant tranche, for the Zora Field development project.

  • MetLife casts wide net in euros, Swissies and Aussie dollars

    Metropolitan Life hit screens with a trio of senior unsecured deals on Wednesday morning, looking to print in euros, Australian dollars and Swiss francs. Strong appetite for insurance company paper is expected to assure the issuer of a warm reception for its trio of deals.

  • Emirates ends execution on old-style perp

    Emirates NBD launched a $500m perpetual bond on Wednesday afternoon having received over $1.3bn in orders for the old-style Basel II compliant note.

  • Petron closes increased loan at $475m with 23

    Philippine oil refining company Petron Corp has closed its fundraising at $475m, higher than the launch size of $300m, with 17 lenders joining during general syndication.

  • Bangkok Dusit kicks off $311m convertible

    Bangkok Dusit Medical Services Public Company launched a Bt10bn ($311m) zero coupon convertible bond on Wednesday night, pitching the deal to investors with yield guidance of 1.50%-2.00%.

  • Bahrain sets 6% yield for long bond

    The Kingdom of Bahrain will price its 30 year transaction at a yield of 6% on September 10. The offering is the first dollar bond from the country this year.

  • AngloGold plots cap hike, spin-off and new listing in face of plunging gold price

    Global mining giant AngloGold Ashanti has laid out a comprehensive reorganisation that that will include a $2.1bn capital raise to help it deal with the damaging effects of the plunging price of gold.

  • Middle East overruns CEEMEA bond issuance

    Middle Eastern credits have a monopoly on CEEMEA bond sales this week, with Abu Dhabi Commercial Bank (ADCB), Emirates NBD, the Emirate of Sharjah and Bahrain all jostling for investors’ attention.

  • Signed and sealed: Taiwan and Singapore link stock markets

    First it was the Hong Kong-Shanghai Stock Connect that was making all the headlines, with plans to give foreign investors access to China stocks and mainland investors access to Hong Kong stocks. Now it’s the turn of Taiwan and Singapore, with the two exchanges signing an agreement on September 10 to develop a cross-border trading link.

  • Air France sells Amadeus block to rehabilitate infamous name

    Air France sold a €125m stake in Amadeus, which makes IT systems for holiday firms, on Tuesday night, bringing a successful deal after a high profile failed trade in the name in 2012.

  • Buoyant FIG market to benefit HSBC AT1 debut

    The FIG market benefitted from buoyant sentiment this week following the latest announcements in the ECB's easing programme last Thursday. Senior and sub deals are both enjoying good responses, boding well for HSBC's debut additional tier one (AT1) print, set to be priced later today.

  • Arcelik escapes swap costs with euro debut

    Home appliances and consumer electronics company Arcelik priced the first euro denominated bond ever from a Turkish corporate on Tuesday. As a rare Turkish corporate with no need for dollars the issuer was able to escape the burdensome swap costs of earlier dollar deals, which helped it save some 40bp in funding costs, said a debt banker on the deal.

  • Swiber's Lion City debut sets Singapore benchmark for mid-cap corps

    Swiber Holdings, a Singaporean offshore oil and gas industry service provider, issued a Rmb450m ($73.4m) three year bond at 7.75% on September 8. The deal will be cleared and settled on September 18 with the Central Depository Pte (CDP) in Singapore, making it the first Lion City bond from a Singapore corporate.

  • Powerlong plays it safe with cheaper dim sum

    After a botched deal in January, China’s Powerlong Real Estate Holdings is back in the dim sum market, opening books for a Rmb1.5bn ($244m) three year paper on September 10. Gone is the issuer’s previously aggressive approach to pricing: the new deal is coming at a huge discount to its existing curve.

  • Raging hunger for corporate bonds as market gulps BSkyB, Vodafone

    Corporate bond issuance in Europe has been building up steadily for four weeks since the summer lull ended, but the market’s true capacity was shown most clearly on Monday, when six deals came at once in euros and sterling, totalling €7.3bn.

  • Too much experimentation in RMB journey, argues Asia-Analytica's Loong

    The acceleration of renminbi globalisation suggested by this year's flurry of offshore RMB clearing bank appointments does not mean that China is abandoning its approach of gradual experimentation, say analysts. In fact, the country's encouragement of multiple silos is in keeping with the classical Deng Xiaoping method of "crossing the river by feeling the stones", says Pauline Loong of Asia-Analytica.

  • Barclays beefs up Asia DCM with two hires

    Barclays is increasing its presence in Asia debt capital markets (DCM) by adding two members to the team, according to sources close to the moves.

  • Energi Mega Persada back for $200m

    Indonesian oil and gas company Energi Mega Persada (EMP) is back in the market for a $200m four year financing. The loan, which consists of a senior tranche and a junior tranche, offers a generous margin and is being done on a best efforts basis by arrangers Credit Suisse and Deutsche Bank.

  • SSAs play in red hot conditions

    Sovereign, supranational and agency issuers will be fielding calls from origination bankers this week, telling them that if they have another benchmark to do this year, now is the time to do it, as issuers printed to a storming response this week — and clouds gather on the horizon.

  • Pimco raids banks as diversification push hits Europe

    Pimco has relocated a US-based structured credit veteran to London to head its European structured product group, as well as making a swathe of hires from investment banks for its London real estate team as it its latest effort to diversify away from bonds.

  • Honghua Group seeks international debut via dollars

    Oil rig maker Honghua Group is looking to make a debut in international markets. The Chinese company will be kicking off investor meetings for a proposed Reg S/144A dollar offering this week.

  • Tata Communications looks to tackle dollar inaugural

    India’s Tata Communications is to meet investors for what would be the borrower’s inaugural bond in the dollar market.

  • Hong Kong dollar sukuk opens to strong momentum

    The Government of the Hong Kong SAR opened books for a landmark dollar sukuk on Wednesday, September 10, as the city seeks to establish itself as a regional Islamic financing hub.

  • Brace for Impact! First Thai Reit set to hit market

    Thai property developer Bangkok Land is set to open books next week for the roughly $490m listing of its real estate investment trust, marking the country’s very first Reit.

  • Andean duo lend more weight to LatAm pipe

    Chilean bank CorpBanca and BBVA’s Peruvian arm will begin investor meetings on Thursday as the September rush to market gathers pace in Latin America.

  • BTG releases price talk on perp

    Andres Esteves’ BTG Pactual will aim to become the second Brazilian bank to issue a Basel III compliant tier one perpetual bond when it completes a roadshow on Wednesday.

  • Mixed fortunes for Mexichem, Ecopetrol in choppy market

    LatAm DCM bankers said Ecopetrol’s timing was unfortunate as the Colombian oil company sold a long 10 year bond on a difficult Tuesday in markets. However, Mexico’s Midas touch was enough to see petrochemicals company Mexichem obtain what bankers judged to be a better received deal.

  • BAML moves Baron to lead US equity derivatives sales

    Paul Baron, head of European equity derivative sales at Bank of America Merrill Lynch in London, has relocated to New York to take over from John O’Brien, former managing director and head of New York derivatives sales.

  • D.E. Shaw: buyside irked over counterparty trading constrictions

    US regulation may mean investment managers that are operated and managed out of the US will have to constrict their trading to US counterparties, therefore introducing barriers to trading opportunities and hampering competition.

  • More MATs expected as SEFs evolve

    More made-available-to-trade determinations could be seen as swap execution facilities introduce more asset classes and the nascent market evolves further.

  • IM poses serious concerns, standardisation model needed

    Calculating initial margin for uncleared over-the-counter derivatives is posing significant challenges for the industry and market participants need to look at adopting a standardised model to ensure consistency when calculating margin.

  • Worse underwriting not expected to hamper auto ABS performance

    Standard & Poor's analysts on Tuesday dismissed claims that the subprime auto lending sector was overheating, saying that subprime auto ABS performance would remain strong despite a decline in underwriting standards.

  • Ex-RBS strategist to lead Bayview CLO push

    A CLO strategist who left Royal Bank of Scotland’s dwindling Stamford, Connecticut office last month is set to move to a Florida-headquartered mortgage specialist to lead a push into the booming US CLO market.

  • Glencore plays it safe, wins €3bn book for €700m deal

    Glencore, the Swiss-based commodities trading and mining group, successfully sold a €700m bond on Tuesday, as Europe’s corporate new issue market fell quiet after Monday’s €7.3bn fireworks.

  • ADCB makes huge saving with new five year

    Abu Dhabi Commercial Bank returned to the dollar market on Tuesday and made a 50bp saving at the five year part of its curve. Middle Eastern spreads have come flying in over the past year and bankers said that the bond came at the tightest possible level.

  • Hedge funds profit via receivers post-ECB meeting

    Hedge funds and some real money desks were seen setting up bullish positions using credit options in iTraxx indices ahead of the European Central Bank meeting on Sept. 4 and unwinding them to a profit not long afterwards, according to credit analysts.

  • Iron Mountain launches sterling deal

    Iron Mountain, the US data storage group, today launched a £350m bond issue to be used to repay debt and for general corporate purposes.

  • Spanish wind firm raises €236m in overnight ABB

    Spanish wind farm firm Gamesa raised €236m through a primary ABB on Monday night.

  • Citi spin-off brings third CLO of year as bulging pipeline softens mezz

    Napier Park, the $6bn hedge fund that was spun off from Citi in 2013, is set to price its third CLO of 2014 in the next two to three weeks. Several other deals are in the pipeline but while demand for CLO equity is strong, widening mezzanine spreads are making that part of the capital stack hard to place.

  • Nyrstar gets €350m bond before rights issue, though rivals knock deal’s timing

    Goldman Sachs priced a €350m bond for Nyrstar, the Belgian mining and metals business, on Tuesday, having released price talk in the 8.75% to 9% yield area on Monday afternoon.

  • Greek Attica Bank to hold shareholder meeting on cap hike

    Greek Attica Bank is to hold a shareholder meeting at the end of this month to approve a plan to issue as much as €434m in new shares.

  • Telefónica Deutschland launches E-Plus funding rights, year after announcement

    Telecommunications firm Telefónica Deutschland launched a €3.62bn rights issue on Tuesday that will fund its purchase of peer E-Plus from KPN, a deal announced last summer.

  • Highland grows structured team, set to hire more

    Dallas-based investment firm Highland Capital Management has hired a new loan and high yield bond trader to support its growing structured products team, and wants to make two more hires this year.

  • ISS opens IPO follow-on run

    Shareholders in Danish outsourcing firm ISS raised Dkr9.4bn ($1.8bn) through a sale of shares on Monday night, the first in an expected run of block sales after a busy first half for IPOs.

  • European leveraged issuers need to watch the US

    European leveraged loan issuers expect the good times to keep rolling this autumn. But issuers considering cross-border transactions should be cautious. Domestic supply is building in the US and this could mean lenders push back on margins.

  • Scottish independence vote spurs UK sov CDS uncertainty

    Holders of UK sovereign credit default swaps are facing uncertainty in the event of a Scottish exit from the union, which could trigger a succession credit event resulting in outstanding contracts being split in two.

  • Islamic accounts should look past Pakistan’s politics

    Islamic investors should not allow political turmoil to derail Pakistan’s plan to return to the sukuk market.

  • Firstmac comes home to add RMBS to Aussie pipeline

    Australian specialist mortgage lender Firstmac is set to issue its first purely Australian dollar denominated RMBS transaction of the year, just as Bank of Queensland is pulling in orders for its latest auto ABS.

  • Turkey firms up Samurai guidance

    The Republic of Turkey firmed price guidance for its 10 year JBIC-backed Samurai at 27bp-31bp over yen swaps on Tuesday morning.

  • EQT launches Nordic sports float

    Sports retailer XXL launched an Oslo IPO on Tuesday that will allow private equity firm EQT to reduce its holding in the firm.

  • New chapter for sub-IG EM corporates as Arcelik books pass €900m

    Turkish home appliances and consumer electronics company Arcelik has launched on Tuesday the first ever sub-investment grade emerging market euro deal with no high yield covenants. The note was priced flat to the company's dollar curve and books for the €350m deal were over €900m.

  • Smirnov to improve government relations at Sberbank

    Sberbank CIB has hired former Russian government official Sergey Smirnov to help develop relationships with government agencies on behalf of the bank.

  • Sevens prove sweet for senior pair, more to come

    More issuers are expected to take advantage of a booming senior market in euros later this week, following a pair of well received seven year prints from JP Morgan and Finnish insurer Sampo on Tuesday. A strong market tone following last week’s European Central Bank meeting and hunger for paper after a quiet summer period are expected to keep demand strong.

  • Bahrain extends curve with 30 year

    The Kingdom of Bahrain was on track to price the first dollar bond from the country this year on Tuesday, having released initial price thoughts for a 30 year bullet bond on Tuesday at low 6%.

  • The Scots don't owe the markets a no vote

    The markets may have an opinion on Scottish independence — but the No campaign has been acting like that matters more than anything else. Capital markets should follow the will of the people, not lead it.

  • Corporate M&A trumps gloomy EM loans in LMA poll

    A poll of delegates at the Loan Market Association's syndicated loans conference in London today made uncomfortable reading for emerging market loans specialists. Only 19% of respondents said they saw EM as offering the best opportunities for lending next year.

  • Blackstone and TPG acquire UK mortgage originator Kensington

    US based private equity firms Blackstone and TPG Capital have acquired non-conforming and buy-to-let UK mortgage lender Kensington Mortgages from Investec, in a move that could see the lender issuing different forms of ABS.

  • SocGen reels in new issue premium on tier two

    Société Générale followed up Monday’s rush of subordinated deals with a self led euro benchmark 12 year non-call seven year tier two deal and initial price thoughts offered a chunky new issue premium.

  • Sharjah leads question Ras Al-Khaimah concession

    The Emirate of Sharjah opened books on a 10 year debut sukuk on Tuesday morning with the aim of pricing a benchmark deal on Wednesday. Some investors are expecting the issuer to price back of main comparable Ras Al-Khaimah (RAK), but Sharjah’s superior credit quality means a premium over RAK may not be necessary, said a debt banker on the deal.

  • Alfa Bank ploughs on with subordinated bond plans

    Alfa Bank Russia still intends to come to the international bond market with a dollar subordinated Eurobond in the next two months, despite the worsening headlines around Russia and Ukraine.

  • LKAB signs Skr5bn loan with five Nordic banks

    Luossavaara‑Kiirunavaara (LKAB), the Swedish state-owned mining company, has signed a Skr5bn (€544m) five year revolving credit facility with two one year extension options.

  • Emirates offers price thoughts on old-style perp

    Emirates NBD announced on Tuesday a new tier one perpetual offering. However, the bond will not be Basel III compliant and therefore will not have a point of non-viability (PONV) feature.

  • EU delays further sanctions on Russian loans, to monitor ceasefire

    Syndicated loans for Russian companies have again evaded a European Union ban – for now – after member states dragged their heels on rolling out a new round of sanctions.

  • The ECB effect: Banif SME deal to test new appetite for periphery ABS

    Portuguese lender Banco Internacional do Funchal (Banif) has launched a securitization of Portuguese SME loans that will include a sale of triple-B rated debt, in an immediate test of whether the European Central Bank has managed to stimulate a new wave of appetite for periphery ABS with last week’s promise to buy up bonds.

  • French clothing firm kicks off debt-reducing IPO

    French professional clothing firm Elis launched an IPO on Tuesday that it will use to repay its debt, alongside a new suite of credit financing.

  • HSBC closes in on structure for multi-tranche AT1

    HSBC has decided on a structure for the euro denominated portion of its upcoming debut additional tier one (AT1) deal. It is weighing its options on the dollar portion, according to two investors.

  • RBS sets out DCM plan, with high profile departures and promotions

    Royal Bank of Scotland announced the new structure for its European debt capital markets business today, following a review since April by Richard Bartlett, its head.

  • Mexichem, CMPC join pipe as LatAm on record track

    Petrochemicals company Mexichem and Chilean pulp producer CMPC were met investors on Monday to take the number of Latin American corporates on bond roadshows to four with the region expected to reach all-time high non-sovereign issuance levels in 2014.

  • Next Freddie risk-sharing RMBS expected soon

    Freddie Mac is set to price its seventh risk-sharing RMBS deal this week, with strong demand expected despite choppy secondary trading in the asset class over recent months.

  • FTSE launches tradable frontier market index series

    Benchmark provider FTSE launched Monday a series of so called frontier market tradable indices that could potentially be used as underlyings for structured products or exchange-traded funds.

  • StanChart’s Steel moves to Nomura in London

    Ed Steel, former managing director and global head of equity derivatives trading at Standard Chartered in Hong Kong, has joined Nomura in London.

  • GM Financial returns to lease ABS following parent deal

    GM Financial is planning to issue a $709m securitization of prime and subprime auto leases, days after reaching a new support agreement with its parent company, General Motors. The agreement could foster increased loan and lease securitizations by GM Financial, analysts suggested.

  • Transurban’s order book jammed with massive interest

    Transurban Group, the Melbourne-based toll roads group, brought its European roadshow last week to fruition on Monday with a €600m bond issue that was a bigger blowout than it could have dreamt of.

  • Origin sells €1bn hybrid inside old one

    Origin Energy, the Australian electricity and gas group that issued an innovative hybrid capital bond in euros in 2011, returned to the market on Monday with a much more conventional — and hence, in the present climate, crowd-pleasing instrument.

  • BSkyB and Vodafone go head to head with blockbuster bonds

    The heavy flow of European corporate bond issues that bankers have been predicting for September began in earnest today, showing that the market’s strength has been no idle boast. Investors swallowed five roadshowed deals in euros and sterling and Vodafone launched a two tranche issue without warning. All were gobbled down with ease.

  • Nyrstar delays pricing of €350m bond issue

    Nyrstar, the Belgian mining and metals business, could price €350m of senior unsecured bonds today or tomorrow, having originally planned to issue on Friday 5 September.

  • India's Basel III U-turn: wrong decision, wrong reason

    India broke with its traditional instincts last week by scrapping a restriction on retail investors buying Basel III bonds. Not only is the U-turn in attitude towards retail protection startling given the country's past attitude to that investor base, but it could also be reckless.

  • Saf-Holland completes tough week for CBs

    International car parts firm Saf-Holland raised €100m through a convertible bond on Friday, the fourth deal to launch since the market has reopened in less than spectacular style.

  • Travis Perkins makes bond debut as Scottish fears unsettle UK markets

    UK building materials distributor Travis Perkins today set the final yield at 4.375% on its debut £250m seven year bond, just as the sterling bond market braced itself for the impact of a potential Yes vote in the Scottish independence referendum.

  • CVC's Delachaux launches €765m loan

    Delachaux, the French industrial company, has launched a €765m loan that will refinance debt and enable it to pay a dividend to shareholders.

  • FMC adds debt for Cheminova buyout

    US chemicals producer FMC Corporation is using a bridge loan to back its $1.8bn acquisition of Cheminova, the Danish crop protection company, from Auriga Industries.

  • Corialis to launch €483m loan by Wednesday

    Belgian aluminium supplier Corialis will launch its €483m loan by Wednesday this week to avoid clashing with another borrower’s bank meeting.

  • Truston signs up with Omgeo for post-trade services

    Truston Asset Management, a Korean asset manager with assets under management of $14 billion as of April, has signed up to standardise its domestic equity post-trade processes with Omgeo, making it the first Korean asset manager to use Omgeo’s post-trade processing capabilities for domestic trades.

  • Investors take long and short from Virgin amid new focus on pre-payment risk

    A number of accounts participated in both the two and five year tranches offered by Virgin Money’s latest Gosforth RMBS, which one person close to the deal said was the first UK deal for some time to focus on mitigating pre-payment rather than extension risk.

  • FirstRand Bank hits Turbo on sterling ABS market

    FirstRand Bank has mandated lead managers for its fifth securitization of auto loans under its Turbo programme, with GMAC UK also on the road this week as a typically anaemic sterling ABS market enjoys a rampant start to the post-summer period.

  • Gazprom Neft loan ruled out as more EU sanctions loom

    Gazprom Neft’s plans to agree a loan with Western banks appear to have hit a wall. The European Council is set to unveil a new round of sanctions on Russia that politicians have indicated will include specific bans on Gazprom Neft and on syndicated lending.

  • Macquarie senior beats expectations, as rare Zurich Insurance deal blows out

    Macquarie and Zurich Insurance kicked off what is expected to be a busy week for senior issuance on Monday as issuers looked to take advantage of positive sentiment following last week's European Central Bank meeting. Zurich was able to draw together a comfortably oversubscribed book, while Macquarie printed with only a small new issue premium compared to secondary paper.

  • Turkey revises Samurai guidance after soft sounding at high 20bp-30bp over yen swaps

    The Republic of Turkey is planning to revise price guidance for its Samurai note later on Monday in London, but is not making the new range known until the Tokyo open on Tuesday morning. The deal is expected to be priced next week.

  • Sub market bursts out of the gate post ECB

    The subordinated debt market for European financials was back in full swing with four deals out on Monday morning boosted by the European Central Bank's policy decisions made last week.

  • Arcelik circulates price thoughts wide of dollars for debut euro bond

    Arcelik, a Turkish home appliances and consumer electronics company, is out with price thoughts for the first euro-denominated bond from a Turkish corporate.

  • An all-consuming approach to bonds

    In the Middle East, Emirates NBD has announced a unique approach to asset liability management — physically masticating its outstanding bonds. Most issuers would take the traditional approach of simply buying back their debt in the secondary market, or switching bondholders into a new transaction. Not Emirates NBD. The borrower has whipped up a flurry of interest in a controversial plan to simply eat — as in actually swallow — its dollar bonds.

  • Portugal reduces postal stake

    The Portuguese state has disposed of its stake in the country's post operator, CTT — Correios de Portugal, on Friday, almost a year after it began its exit from the firm.

  • IsDB mandate sets up September sukuk pipeline to break record

    Islamic Development Bank (IsDB) has picked lead managers for its next sukuk deal and will finish investor meetings on September 17 — giving the market all the mandates it needs for September to smash the previous record for monthly sukuk sales.

  • Covered bond investors could shift to ABS on ECB backing

    Covered bond investors that have long shunned the European ABS market may be among the first buyside participants to be drawn back into securitization as yields in their market are squeezed even tighter by the European Central Bank’s impending purchases, bankers told GlobalCapital on Monday.

  • Electrolux gets $3.3bn loan for GE Appliances, plans bond and rights

    Swedish appliance maker Electrolux has obtained a $3.3bn committed bridge facility for the full amount it has agreed to pay for GE Appliances. The company plans to replace the facility gradually with $2.5bn of bonds and an $800m-equivalent rights issue.

  • L’esprit de l’escalier

    The question of when interest rates are finally going to rise and by how much is one that preys on the minds of all bankers, least not of course loans officials. A sure-fire indication that we are moving to a rising interest rate environment would do wonders for those looking to increase their allocation to floating rate instruments.

  • ABN Amro launches new Asian corporate finance business

    ABN Amro announced that it will be launching an Asian corporate finance advisory business for global energy, commodities and transportation (ECT) clients, as the Dutch bank builds its range of wholesale banking services for the sector.

  • Japan Post IPO set to add to ECM volumes

    The Ministry of Finance of Japan has shortlisted a group of 15 banks for the IPO of Japan Post Holdings, which when it happens will add a sizeable chunk to ECM volumes from the country.

  • Indonesia's Mitra Pinashika Mustika seeks debut

    Indonesia’s Mitra Pinashika Mustika (MPM) is looking to make a debut in international bond markets. The automotive company will be meeting investors for a proposed Reg S dollar offering this week.

  • India’s PFC allocates $250m five year

    India’s state-owned Power Finance Corp (PFC) has issued allocations for its $250m five year loan that hit general syndication in July.

  • Pelindo III to meet investors for debut dollar bond

    Port operator Pelabuhan Indonesia III, also known as Pelindo III, is set to start meetings with investors in Asia, Europe and the US for an inaugural dollar issue.

  • Reignwood opens debut offshore $160m syndication

    Chinese consumer products maker Reignwood Group has launched its $160m debut offshore syndication with Credit Suisse as the sole bookrunner. The loan is backed by two guarantees from the company’s onshore operations.

  • It’s open! Alibaba launches jumbo $21.1bn IPO

    China's Alibaba Group has thrown open its long awaited $21.13bn New York IPO, with a deal that is likely to be not only the biggest US listing ever but could also break the record for the biggest IPO globally.

  • Taiwanese bond issuance to keep rising until year end: S&P

    Standard & Poor’s (S&P) predicts Taiwan bond issuance to keep rising until the end of the year, driven by financial debentures and international bonds.

  • Lufthansa roars to tight pricing, lifted by home investors

    Deutsche Lufthansa, Germany’s national airline, launched its first bond today since 2009, at the remarkably tight spread of 75bp over mid-swaps – showing just how valuable a loyal following of domestic investors can be.

  • Borse Dubai sells 3.1% of LSE for £172m

    Borse Dubai closed the books last night on the sale of a 3.1% stake in the London Stock Exchange Group for £171.7m, as it readies funds to fully subscribe to the UK exchange’s planned rights issue.

  • Aigües de Barcelona's sub-benchmark debut reaches a 'wide audience'

    Aigües de Barcelona has closed the books on its first bond since its creation in 2013 as a joint enterprise between water distributor Agbar and the local government. Despite its small size, the bond attracted a wide range of Spanish and international investors.

  • Shenzhen Investment closes $759m five year club

    Hong Kong listed property developer Shenzhen Investment has closed a self-arranged $759m five year loan with its relationship banks. The loan saw commitments come in in both US dollars and Hong Kong dollars.

  • King’s Flair and Xinming seek HK IPOs

    Kitchenware products maker King’s Flair International Holdings and property developer Xinming China Holdings are both seeking to list in Hong Kong, having filed their respective A1s with the regulator.

  • Tsinlien completes three year RMB trade

    Tsinlien Group priced at Rmb1.8bn ($292m) deal on Tuesday September 2. DBS, China Citic Bank International, Industrial and Commercial Bank Asia and Wing Lung Bank opened guidance on the three year CNH at 5.5% area before tightening to 5.2%-5.25%. The bond priced at par with a coupon of 5.2%.

  • Asiamoney reveals region's outstanding banks in Fixed Income Poll

    Two banks dominated the three main categories of our latest and largest survey of Asia's credit, interest rate and commodities sectors.

  • West China Cement snags premium pricing with solid anchors

    West China Cement marked a successful return to the bond market on September 4 by pricing a five year non-call three deal well through its closest comparable — Yingde Gases Investment. The bond was built on the back of strong anchor support, which was surprising given the predicament the Chinese cement industry finds itself in.

  • Info Edge prices low to net $124m with QIP

    E-commerce company Info Edge (India) has raised Rp7.5bn ($124m) through a qualified institutional placement, in a deal that was priced closer to the lower end of guidance.

  • New leadership at SocGen Vietnam

    Société Générale has appointed of Ho Thi My Dung as chief representative officer for Vietnam.

  • Aristocrat looks to US market for $1.3bn loan

    Australian gaming products maker Aristocrat Leisure is eyeing the US market for a $1.3bn seven year senior secured term loan. The company plans to use the money to fund its acquisition of US gaming operator Video Gaming Technologies and to refinance debt.

  • Full house! Great Wall becomes last AMC to issue dollars

    The last of China’s big four asset managers is set to enter the dollar bond market as China Great Wall has mandated banks for a standby letter of credit (SBLC) backed bond.

  • China Auto Rental hits the gas for $467m HK IPO

    China Auto Rental opened books for a HK$3.62bn ($467m) IPO on Friday morning, in what is the company’s second attempt at a listing after being forced to pull its deal two years ago.

  • Liquidity drives Hongqiao $220m top-up placement

    Aluminium products manufacturer China Hongqiao Group raised HK$1.71bn ($220m) from a top up placement on Thursday night, with the deal driven by the need to improve liquidity of the shares.

  • Citic $1bn closes with three joining in general

    Chinese state-owned conglomerate Citic has wound up its $1bn dual tranche loan with three banks joining during general syndication.

  • RMB round-up: September 5, 2014

    In this round-up, more reforms are on the way for the first anniversary of the Shanghai Free Trade Zone, Taiwan launches its offshore renminbi Taibor benchmarks, a Chinese rating agency opened operations in Hong Kong, and Australia launched a "Sydney for Renminbi" initiative to boost its standing as an offshore RMB hub.

  • Four-way agreement puts Stock Connect a step closer to launch

    Hong Kong's and Shanghai’s stock exchanges and clearing houses finalised on Thursday an agreement to set up their Stock Connect mutual equity trading scheme. The pilot initiative will work alongside the successful RQFII quota programme to lay the foundation for the gradual opening of China’s capital account.

  • Swift to release Islamic finance rules

    Malaysian banks are cooperating with Swift to design standards for Islamic finance in an attempt to accelerate Islamic banking processes.

  • European repo market shrinks, says ICMA

    The European repo market shrank slightly over the year, according to ICMA’s latest repo market survey, one of the only meaningful datasets on the fragmented market. Total contracts outstanding were €5.78tr at the end of the first half, against €6.08tr in June 2013.

  • Auto ABS takes spotlight as new deals pile in

    Auto ABS continues to take a majority share of new issues, with one auto ABS pricing and three more in the pipeline. An RMBS issue and a GE Capital mid-ticket equipment lease ABS are also expected to come to market.

  • Hazelwood adds another to Mitsubishi securitization team

    Mitsubishi UFJ’s head of structured products, Tricia Hazelwood, has added another salesperson to her growing team, this time sourcing the new hire from Royal Bank of Scotland’s shrinking US capital markets business.

  • CBOE targets fixed income investors with US rates VIX

    The Chicago Board Options Exchange will launch futures trading on the CBOE/ Chicago Board of Trade 10-year US Treasury Note Volatility Index on Thursday, Nov. 13, allowing users to hedge interest rate volatility risk based on U.S. government debt with a single product for the first time.

  • Oil and gas drives jump in Jefferies numbers

    Jefferies reported highlights of its third quarter results early, showing investment banking revenues had surged to $461m from $319m last year, helping push revenues up 61% to $835m and profits up to $132m from $23m.

  • Finland USD1.5bn 1.75% Sep 19

  • LCR means worse capital treatment for agency MBS

    Banks will be disincentivised from holding agency-backed MBS when US banking regulators implement floors on the quality and quantity of assets banks hold on their balance sheets in accordance with the just-finalised Liquidity Coverage Ratio (LCR) rule.

  • ECB: failure or masterstroke?

    The European Central Bank’s announcement of a third covered bond purchase programme is destined for failure. The size of the public market for benchmark covered bonds stands at €570bn, suggesting the central bank would be unable to achieve anything close to its €500bn target through covered bonds alone.

  • UniCredit EUR1bn 6.75% Perp NC7 AT1

  • Deutsche Bank EUR1.75bn 1.25% Sep 21

  • IADB USD3.25bn 0.625% Sep 16

  • Nykredit EUR500m FRN Sep 19

  • Santander EUR1.5bn 6.25% Perp NC7 AT1

  • Citi EUR1bn 2.125% Sep 26

  • Bank of America EUR1.5bn 1.375% Sep 21

  • Belfius, Nordea and Scotia hit covereds

    For the first time this year the supply of covered bonds issued in currencies other than the euro led primary flows. Issuers in Australia, Canada and Norway launched benchmarks in dollars and sterling leaving euro issuance trailing.

  • Regulatory change could up demand for short SSA Kangas

    Proposed changes to the way liquidity coverage ratios (LCR) are calculated for foreign bank branches in Australia could free up capital and lead to an increase of SSA issuance at the short end of the Kangaroo curve, according to bankers. The proposals came alongside a burst of supranational and agency activity in the short end of the Kangaroo market.

  • People Moves in Brief

    Varde hires capital markets head - RBC takes telecoms team from Barclays - Deutsche takes US IB head from GoldenTree

  • US gets $30bn onslaught from FIG ahead of earnings

    Financial issuers led an onslaught of high-grade issuance in the dollar market this week as they raced to tie up funding plans before an earnings blackout.

  • Portugal EUR3.5bn 3.875% Feb 30

  • Sov default: testing the untestable

    The International Capital Market Association’s move to introduce more certainty to sovereign restructurings with proposed documentation deserves nothing but praise.

  • Oman Oil signs first club loan under new CEO

    Oman Oil Co, a state-owned investment arm of the sultanate, has signed a $1.85bn unsecured financing with banks, according to two loans bankers.

  • Liquid Telecom seeks $150m to expand African network

    Liquid Telecom, the African fixed line provider, is set to launch a five year financing to expand its international network.

  • EBRD agrees Turkish loan and $1bn Ukraine pledge

    The European Bank for Reconstruction and Development has agreed a $50m five year loan to Turkish consumer electronics firm Vestel Elektronik Sanayi ve Ticaret and restated a $1bn commitment to Ukraine.

  • No Russian loan re-entry despite Ukrainian ceasefire

    Another round of EU sanctions is looming over the Russian loan market and, even with Russian company EuroChem signing a loan this week, the most bullish of loan bankers are losing faith that new money deals will come anytime soon.

  • Student loan ABS issuance falling as Sallie competitors grow

    The student loan ABS market is continuing to shrink as private sources of college tuition funding expand to record highs, said Fitch on Thursday. The news comes amid the growth of alternative lenders in the consumer finance space, such as peer-to-peer lender SoFi, which is planning its third securitization this quarter.

  • New Scope chief looks to Pfandbrief, large corporates

    Scope Ratings, which hired Standard & Poor’s head of German operations as its new chief executive, is hiring staffers for an upcoming Pfandbrief rating platform, and is looking to expand its small cap corporates rating business to cover mid and large cap ratings.

  • Santander, UniCredit discover sea change in AT1 demand

    Santander and UniCredit reopened the door to the additional tier one market this week only to find what lay behind it was a very different dynamic from the one borrowers experienced before summer. An expected burst of supply is on the way and historically low coupons are causing investors to shy away from the AT1 from major European banks.

  • Brazil taps for $1bn, low sovereign supply buoys bid

    Brazil took advantage of the expected negative supply of Latin America sovereign bond paper to sell a $1bn tap of its 4.25% 2025s on Wednesday, nearly flat to the country’s outstanding bonds.

  • Cemex set to print dual trancher after going tighter

    Mexican cement firm Cemex was selling euro and dollar bonds on Thursday to fund the buyback of the company’s dollar 2018s and 2020s. The euro tranche of the Reg S/144A notes had been launched by press time on Thursday evening but leads were still determining a price for the dollar deal.

  • Brazil’s GOL roadshows for bond alongside tender

    Brazilian low cost airline GOL has mandated five banks to arrange a new bond in conjunction with the tender offer for its 7.5% 2017s, 9.25% 2020s and 10.75% 2023s.

  • Periphery in control as long end chances grow

    From being all but frozen out of the capital markets a little over two years ago, eurozone periphery sovereigns could soon be in the position to dictate terms and push investors on duration, said bankers this week, following Portugal’s return to the 15 year part of the curve for the first time since the collapse of Lehman Brothers and Spain’s longest ever print. New measures from the European Central Bank that sent yields tumbling could put the sovereigns in an even stronger position, although that might not extend to Greece, which is planning a seven year bond for later this year.

  • Fiat taps July’s 2022 deal as Draghi cut lifts spirits

    Fiat priced €500m of bonds on Thursday, as it tapped its 2022 notes amid a market buoyed by the European Central Bank’s announcement that it would cut interest rates to a new low.

  • Nyrstar to refresh capital with bond, rights

    Nyrstar, the Belgian mining and metals business, wants to raise €600m through a €250m rights offering and €350m bond issue, as it seeks to buy back existing bonds, reduce its net leverage and fund an upgrade of its smelters.

  • NAB syndication novelty and yield reels in European investors

    National Australia Bank attracted a high level of European demand for a dollar denominated deal on Tuesday. The unusually broad distribution paid testimony not only to the novel syndication approach, but also the tempting outright yield relative to what would have been seen in euros.

  • Corporate issuance hits full speed as Sanofi’s €3bn blockbuster blows out

    Europe’s corporate bond market burst into full scale action on Wednesday, after two weeks of sporadic new issuance. A €3bn deal from Sanofi, the French pharmaceuticals company, was joined by €1bn from Toyota Motor Credit Corp, €500m from property company Foncière des Régions and yet another small deal from Volvo (see separate stories).

  • CLN issuers fear greater capital charges

    Issuers hedging exposures to credit-linked notes using credit default swaps may find they are subject to higher capital charges after Sept. 22, when a new set of definitions governing the terms of a credit event come into play.

  • Swiss Re deal shows some sub debt still in favour

    Swiss Re drew an almost four times oversubscribed order book for a debut dated dollar subordinated debt issue on Thursday. The deal showed that appetite for sub debt remains robust among investors, even following starkly reduced demand for additional tier one paper deals from Santander and UniCredit earlier this week.

  • Phones 4U disaster puts high yield market’s weak liquidity to the test

    The value of Phones 4U’s high yield bonds plummeted this week, after the UK mobile phone retailer lost a major contract with Vodafone. Some market participants said investment banks’ shrunken appetite for trading was making it harder for investors to sell out of the decaying paper, and could lead to severe swings in high yield bond trading in future, writes Olivier Holmey.

  • Auto ABS binge stretches investors but cash responds

    European auto ABS issuers were climbing over each other for an early mover advantage to target cash rich investors in the market this week. Some trades have had to settle for a longer execution than expected as investor resources were stretched by a mountain of credit work, but bankers said there was enough demand to go around and that they expect the activity to last throughout September.

  • EPM pesos bring hopes local currency bid is back

    Colombian utility Empresas Públicas de Medellín, this week sold a Ps965.745bn ($500m) global peso deal at a yield of 7.625%. The note was three times subscribed, according to a syndicate official away from the deal, who added that the deal was a positive indicator of growing local currency demand.

  • Italy SME CLOs protected from weak economy

    The relatively short senior tranches of Italian SME CLO transactions are protecting them from the weak performance of the country’s SMEs, according to Fitch, thanks to strong credit enhancement levels and unique structural features.

  • Covered bond buying branded ‘insane’ as ECB goes for QE-lite

    The European Central Bank surprised ABS bankers and infuriated many of their covered bond peers on Thursday by committing to a broad purchase programme for both asset classes. The move was welcomed in the ABS market and sparked a fresh hunt for secondary paper, but deprived of more detail bankers were unable to say how quickly the measures would encourage more primary issuance, if at all.

  • BTG Pactual mandates for rare perpetual tier one

    BTG Pactual has mandated BB Securities, Bank of America Merrill Lynch, Bradesco BBI, BTG Pactual, Citi and Santander to arrange a perpetual tier one deal.

  • Virgin goes Dutch on Gosforth as FLS effect melts away

    Virgin Money was set to place its first new RMBS since 2012 on Friday after opting for a two and five year structure more familiar to Dutch issuers. The bank’s return to the product is a further sign that a weakened Funding for Lending Scheme and a tightening of UK RMBS spreads is making the market tempting once more to a bigger pool of issuers.

  • Bankers dispute premiums as senior market reopens

    Senior unsecured supply for the autumn kicked off this week, with Deutsche Bank and Nykredit becoming the first banks to issue senior debt this month. With little recent supply, bankers away from the deals found themselves in disagreement over whether the leads had hit optimal pricing for the deals.

  • Cov-lite boom boosts issuance volumes beyond 2007 run rate

    European covenant-lite loan issuance is now at its highest year to date volume since the same period in 2007, according to Dealogic data released on Thursday.

  • Stage set for US banks in euros after BAML, Citi prints

    Bank of America and Citi took to the euro market on Wednesday with self-led trades, pricing seven and 12 year notes respectively. More US issuers are likely to consider selling euro debt in coming weeks, drawn by access to longer dated funding and attractive pricing compared with dollars.

  • Aigües opens books on €200m seven year debut

    Books opened on Thursday for Aigües de Barcelona's €200m bond issue. The company has opted for a seven year tenor, and is expected to close the sale on Friday morning.

  • Investors primed for more dollar deals as issuers print blow-outs

    A trio of issuers printed oversubscribed deals in dollars this week, including the Inter-American Development Bank’s largest ever dollar global. More borrowers are eyeing issuance in the currency given the impressive levels of demand on offer, although holidays next week will make windows of issuance few and far between.

  • Bureau van Dijk first to the levfin starting line in September with its €620m acquisition loan

    Dutch business publisher Bureau van Dijk has started the autumn run of leveraged loan deals, launching a €620m loan to back its buyout by EQT.

  • US M&A financing wave begins with Marathon as AbbVie nears

    The wave of acquisition financings kicked off this week as Marathon Petroleum exploited the recent sharp rally rates and caught investors in eager mood following the August lull.

  • Ahlstrom’s unrated €100m flies, more Finns coming

    Ahlstrom, the unrated Finnish fibre-based materials company, priced its €100m five year unsecured bond issue on Thursday, to finance its tender offer for a €100m bond due November 2015.

  • European investment banks halt US takeover

    European investment banks have managed to stem a decline in market share, making progress on capital and leverage targets, according to research from Deutsche Bank. The note, a outlook of the next 10 years in investment banking, also finds that a wide range of approaches means well-managed banks can prosper.

  • Lufthansa’s €500m return faces Ryanair test

    Deutsche Lufthansa, the German national airline, announced on Thursday plans for a €500m five year bond, its first since 2009.

  • Ukraine starts working with banks for standalone Eurobond

    Ukraine has mandated three US banks and one European firm to arrange its next Eurobond, which is expected to be the country's first standalone international bond since the start of the Crimea crisis.

  • EIB pushes out euro CAB curve with 2026 green Ecoop

    The European Investment Bank this week priced its longest dated climate awareness bond— a €500m 12 year — also marking the longest euro green benchmark from a supranational or agency issuer. Long-dated green issuance could be an area for SSA borrowers to explore, as they match more closely the long-dated nature of the projects that the bonds back.

  • Goldman looks to open sukuk for western banks with deal resurrection

    Goldman Sachs is preparing a debut sukuk deal that could pave the way for other western banks to use Islamic finance to tap into a huge pool of Middle East liquidity. But much will depend on the pricing and whether Islamic investors accept the deal, which comes almost three years after controversy around Shariah compliance brought down the US firm’s first attempt at an inaugural sukuk. Steven Gilmore reports.

  • Q4 glee ebbs as debutants run into soggy receptions

    The two overnight block trades that heralded the end of summer in equity capital markets priced at the bottom of the range this week, with at least one failing to find full coverage, amid a lacklustre reception for many of September’s new deals. The weak performance of the first deals into the market could indicate that the hype about the fourth quarter could be overdone, said bankers.

  • Leveraged loans, news in brief - 5 September, 2014

    Corialis - KKR's Finedining Capital - Douglas Holding

  • Central banks dig into Pbb as ECB readies covered programme

    Deutsche Pfandbriefbank (Pbb) reopened the covered bond primary market with a storm this week, printing one of the most oversubscribed German deals of the year. The €500m three year transaction attracted one of the highest proportion of demand from central banks, at 38% and one of the highest proportions of foreign participation, with 53%.

  • ESMA flags record sovereign debt burden

    The European Securities and Markets Authority said outstanding EU sovereign debt reached a new record high in the first quarter this year, hitting €11.5tr, or 88% of EU GDP. In the eurozone, the total was €9.1tr or 93.9% of GDP (against the 60% required under the Maastricht treaty), according to the regulator’s Trends and Vulnerabilities report.

  • Corporate credit skips with delight after ECB rate cut surprise

    Credit markets reacted with delight on Thursday afternoon to the European Central Bank’s 10bp interest rate cut. Although at least three major banks’ economists had predicted it, most of the rest had not, and many market participants were taken by surprise.

  • Investors pour into Qilu’s cheaply priced dim sum

    Qilu International made its debut in the bond market on Wednesday with a Rmb1.5bn ($243m) three year dim sum that market observers described as a bargain.

  • MTN leak: Thank you for the pan pipes

    The mystical land of Iceland has offered countless treats in the many years that Íslandsbanki has invited bankers to Discover Iceland, and this year was no exception. Whales, a treasure hunt and ridiculously powerful speedboats were all on the agenda — but the choice of music really stood out.

  • Argentina CDS valued at auction

    The Argentine credit default swap auction was resolved on Wednesday with restructured bonds on the sovereign valued at 39.5c on the dollar.

  • Let this be the autumn that ECM comes of age

    The last two Septembers in the equity capital markets have been marked by general frenzy and excitement. This autumn, at last, should be the one the market returns to the seasonal, and quieter, norm. If so, the winners will be those who adjust their strategy away from the generic and take account of specific, and new, approaches.

  • Emaar kicks off long awaited mall IPO

    Emaar Properties launched a long expected IPO of its mall unit on Monday, making it the first company to jump into what is expected to be a very busy autumn new issue market.

  • Riot of roadshows in CEEMEA as six more announce bonds

    Six more roadshows for new bonds were announced in CEEMEA this week, which added to the plethora of issuers from the region already on the road. The second week in September is lining up to rival the busiest week this year in terms of numbers of deals.

  • Durkop departs RBS syndicate for sales role

    Clemens Durkop, a vice president on Royal Bank of Scotland’s Swiss franc syndicate desk, has changed roles within the bank, leaving Switzerland to take up a sales position in Frankfurt.

  • Equity capital markets, news in brief — September 5, 2014

    Immofinanz/Buwog — BW Group/BW LPG — Deutsche Wohnen — Zalando — Rhodes Food Group — Woolworths — Adecco

  • KKR's Finedining Capital cooks up €615m loan after buying WMF

    Finedining Capital, a holding company owned by KKR, will launch a €615m loan to back its purchase of a 90.3% stake in German kitchenware producer WMF's preference shares.

  • Bankers unsure of Shanda LBO loan as sponsors exit

    Bankers are uncertain of the future of a $750m-$850m loan that was meant to fund Shanda Games to go private after four sponsors pulled out of the consortium for the buyout and three new names formed a group.

  • Swap docs set to vanish for vanilla trades as CCPs grow

    Swap documentation such as the International Swaps and Derivatives Association master agreements and credit support annexes — the contracts at the heart of so much wrangling between issuers and dealers in the supranational and agency bond market in recent years — are likely to be non-existent in the coming years for firms that only trade vanilla products. This is due to regulation that requires certain financial instruments to be cleared through central counterparty (CCP) clearing houses, writes Beth Shah.

  • Fiat taps July's bond for €500m as Draghi lifts spirits

    Fiat priced €500m of bonds today, as it tapped its 2022 notes at the heart of a market buoyed by the European Central Bank’s announcement that it would cut interest rates to a new low.

  • Haitong makes stunning return with $600m five year

    Haitong International Securities Group became the first Chinese brokerage group to issue a bond with a credit rating on Wednesday. Despite a crowded market, the rating, combined with the sector's rarity, ensured a strong reception from investors.

  • Alfa Laval’s first bond since 2000 a big hit on ECB day

    Alfa Laval, the Swedish maker of fluid handling machinery, attracted very strong demand on Thursday when it returned to the bond market after a long absence — even though it came on the same day as a hotly anticipated press conference of the European Central Bank.

  • Immofinanz follows DW with exchangeable at worst end of terms

    Austrian property firm Immofinanz sold a €375m bond exchangeable into shares in subsidiary Buwog on Thursday, the second of the three deals that have launched in September that priced at the worst end of terms for the issuer.

  • RMBS, mezz, even covered on shopping list for ECB’s QE-lite

    The European Central Bank sparked a hunt for available European ABS in the secondary market on Thursday after its president, Mario Draghi announced RMBS and possibly mezzanine tranches would be included in its purchase programme, alongside covered bonds. Draghi said the measures were directed at credit easing, leaving the ECB relying on banks to direct their freed up capital towards SMEs of their own accord.

  • US firms up bank liquidity rules

    US regulatory agencies firmed up their large bank liquidity rules on Wednesday, tweaking the final version to allow privately traded corporate debt into liquidity buffers, but holding firm on restricting munis, ABS, covered bonds and non-US agencies, in stark contrast to European liquidity standards, which have been gradually diluted.

  • Khazanah defiant in the face of EB struggles

    It was second time lucky for Khazanah Nasional this week, as the Malaysian sovereign wealth fund managed to complete a $500m exchangeable sukuk on Wednesday after pulling the same transaction just three months ago. Moving away from a very aggressive stance to slightly more investor-friendly terms helped get the transaction across the line, but it was an uphill battle all the way, writes Rashmi Kumar.

  • Cov-lite boom swells issuance to above 2007's run rate

    European covenant-lite loan issuance is now at its highest year to date volume since the same period in 2007, according to Dealogic data released today.

  • Philippine homebuilder Vista Land makes massive saving

    Philippine homebuilder Vista Land & Lifescapes priced a highly successful tap on Wednesday and shaved more than 60bp off its funding costs. The company had recently posted strong first half results and its bonds were trading well in secondary, so sole lead DBS advised them to increase the original deal.

  • RBI loosens rules for offshore refi but bars Indian banks

    The Reserve Bank of India has revised its offshore borrowing rules, making it easier for companies to refinance loans overseas. But at the same time it has placed restrictions on Indian bank participation. The fallout is already being felt, with one Indian lender having to step away from the loan for Reliance Jio, and some bankers expect the loss of liquidity offered by Indian banks to push up pricing, writes Shruti Chaturvedi.

  • China Taiping prices Asia’s first insurance perp

    China Taiping benefited from strong regulatory support for the Chinese insurance sector on Wednesday, managing to price a perpetual bond 42.5bp inside initial guidance on the back of strong demand. Bankers say the transaction marked a change of sentiment towards the credit as its previous transactions had not received much demand.

  • Bureau van Dijk sets tight OID at London meeting

    Bureau van Dijk, the Dutch business publisher, held a well attended London bank meeting this morning for its €620m loan, during which original issue discounts were released for all three tranches of the deal’s term loan.

  • BTG Pactual mandates for rare perpetual tier one

    BTG Pactual has mandated BB Securities, Bank of America Merrill Lynch, Bradesco BBI, BTG Pactual, Citi and Santander to arrange a perpetual tier one deal.

  • Russia's EuroChem an exception, say bankers, as it signs $750m loan

    Russian fertiliser maker EuroChem has signed a $750m eight year syndicated loan with banks, shaking off concerns about the escalating conflict in Ukraine and talk of a new round of European sanctions on Russia that could formally include loans. But bankers said EuroChem was an exception, rather than a signal for new Russian lending.

  • Värde hires RBS conduit pro to head capital markets

    Värde Partners has hired a securitization structurer from RBS as head of capital markets.

  • EPM global peso bond brings hopes local currency bid is back

    Colombian utility Empresas Públicas de Medellín, has sold a COP965.745bn global peso deal at a yield of 7.625%. The note was three times subscribed, according to a syndicate official away from the deal, who added that the deal was a positive indicator of growing local currency demand.

  • Brazil taps 2025s for $1bn as negative sovereign supply expectations buoy bid

    Brazil took advantage of the expected negative supply of Latin America sovereign bond paper to sell a $1bn tap of its 4.25% 2025s on Wednesday nearly flat to the country’s outstanding bonds.

  • Jacobs family sells Adecco stake

    Jacobs Holding sold its entire stake in Adecco, the Swiss human resources firm that it bought in 1993 and has since restructured, on Wednesday night.

  • It wasn’t me! Debate rages as KDB tanks in secondary

    Bookrunners were quick to point the finger at Korea Development Bank (KDB) after its new bond this week drew few orders and then sold off in secondary. But while KDB acknowledged the $750m deal had been priced aggressively, the issuer said it was following strategies recommend by its syndicate banks, writes Virginia Furness.

  • Swiss Re dollar deal shows investors still hungry for sub debt

    Swiss Re drew an almost four times oversubscribed order book for its debut dated dollar sub print on Thursday, with leads pricing the deal inside of initial price thoughts. The deal shows that appetite for sub debt remains robust among investors, even following starkly reduced demand in the market for additional tier one paper for prints from Santander and UniCredit earlier this week.

  • GS 'learns lesson' and switches structure on debut sukuk sale

    Goldman Sachs has reignited plans for a debut sukuk deal almost three years after controversy around Shariah compliance brought down its first attempt. Debt bankers and Islamic finance specialists away from the deal lauded the issuer’s adjustments from its original attempt, and investors are hoping a successful print will encourage other western conventional banks to sell sukuk.

  • United Internet to fund buys with €1.382bn in loans

    German internet service provider United Internet has mandated banks for a mid-term loan and a bridge facility totalling €1.382bn to fund its acquisition of KKR's stake in Versatel and its investment in e-commerce venture capital house Rocket Internet.

  • West China Cement puts new dollar bond into the mixer

    West China Cement is out in the market with on new dollar bond. Leads say that books were already covered prior to announcement after strong anchor orders came in during the roadshow.

  • Cemex plans euro and dollar dual tranches

    Mexican building material suppliers and cement producer Cemex is selling euro and dollar bonds to fund the buyback of the company’s dollar 2018s and 2020s. The Reg S/144A notes will be priced later on Thursday.

  • Tunisia tries for JBIC backed yen again

    The Central Bank of Tunisia has hired Nomura to arrange a yen deal. The deal will be backed by the Japan Bank for International Cooperation, said a source close to the deal.

  • Ju Teng International nets $200m three year

    Jiu Ding International and Dynamic Apex Macao Commercial Offshore, subsidiaries of Taiwanese notebook casings maker Ju Teng International, have sealed a $200m triple tranche three year financing.

  • CGN powers up for $2bn as HK Airlines takes off

    China’s CGN Power, the country’s largest nuclear power producer in terms of total installed capacity, has filed for an IPO on the Hong Kong Stock Exchange in a deal that could raise the company as much as $2bn.

  • Chailease facility rises to $137m with 10 on board

    Chailease International Financial Service Co, the international arm of Taiwan’s Chailease Finance, has closed its loan at $137m, higher than the launch size of $120m, with 10 lenders coming in.

  • Phoenix Healthcare, CP Group send out invitations

    Deutsche Bank is sounding out lenders for a $100m three year loan for Chinese private hospital group Phoenix Healthcare.

  • Rally helps Providence rake in $233m with Idea

    Providence Equity Partners has raised Rp14.13bn ($233m) by selling a 2.5% stake in India’s Idea Cellular, with the private equity fund timing the deal to take advantage of a recent rally in the stock.

  • Xiaomi transmits $1bn financing into general

    Mobile phone maker Xiaomi launched its $1bn dual tranche loan into general on Tuesday afternoon, following a successful senior phase during which 17 banks joined for the bookrunner and mandated lead arranger title.

  • RBI ramps up interest in Basel III bonds with revisions

    Indian banks got a huge helping hand from the Reserve Bank of India (RBI) on September 1 after the regulator relaxed its Basel III guidelines to drive up interest in bank capital issuance.

  • Little need for HKEx dual class proposal, bankers say

    Just one week before Alibaba is due to open books for its jumbo New York IPO, the Hong Kong Exchange has launched a concept paper on whether it should allow dual class shareholdings. But with very few issuers demanding this structure, bankers reckon that even if it brings in new rules, it is unlikely to change the dynamic of the market.

  • India in limelight with Sail, PFC, REC stake sales

    India equity markets look set for a busy end of year thanks to the government laying the groundwork for divesting 5% stakes in multiple state-owned companies. Its targets this week include Steel Authority of India Ltd (Sail), Power Finance Corp (PFC) and Rural Electrification Corp (REC).

  • Investor resources stretched in auto ABS binge but cash plentiful

    Auto ABS issuers have been climbing over each other for an early mover advantage in the European auto ABS market this week, and investor credit analysts had another load of work on their plates on Thursday as Mercedes opened books on its Silver Arrow 5 transaction.

  • Ganatra joins StanChart as head of MTNs

    HSBC veteran Annemarie Ganatra has resurfaced at Standard Chartered in Hong Kong as the bank’s new head of MTNs.

  • Yuexiu targets $497m with 33-for-100 rights issue

    Yuexiu Property Company is looking to raise HK$3.85bn ($497m) through a 33-for-100 rights issue, as it chooses equity fundraising over taking on additional debt.

  • 361° marks return of retail credits with debut dim sum

    361° International raised Rmb1.5bn ($243m) from a 2017 dim sum on September 4 with a debut offering that was well backed by investors thanks to the diversification opportunity the credit offered.

  • Issuers: can’t live with 'em, can’t live without 'em

    You’ve got to love a good mutiny. As you’ve no doubt seen from this week’s front page story, a bunch of bond bankers have been very vocal in their upset with an issuer because it didn’t listen to their advice. As a result, they say, the transaction did not go as well as expected.

  • Deutsche Wohnen prices refi CB at worst end of terms

    German property firm Deutsche Wohnen raised €400m through one of the first convertible bonds into the post-summer market on Wednesday, pricing the deal at the best end of terms for investors.

  • ABC Dubai sticks to its guns on debut CNH pricing

    Agricultural Bank of China (ABC) Dubai Branch stuck to its rumoured pricing target of 3.5% for its debut offshore renminbi bond on Wednesday night, in spite of having appeared to rein in its ambitions by launching that morning with guidance of 3.7% area.

  • Fitch: Basel III penalises Europe’s best securitizations

    Fitch has said the Basel III securitization framework’s capital charges penalise the best performing and highest rated transactions, while Spanish RMBS and Greek RMBS benefit the most from the committee’s attempt to avoid cliff risk.

  • ICBC Basel-free tier twos are a hit with investors

    ICBC Macau provided investors with a now rare form of bank capital on September 3 when it launched a subordinated bond. As Macau does not follow Basel guidelines, the bond is not subject to Basel III regulation.

  • Total Derivatives: PMI drives CNY 5y bid; dim sum deals pick up

    Strong PMI data this week has backed good paying in five year swaps, which has steepened the 2s/5s curve slope. Dim sum bond issuance has picked up despite the recent renminbi weakness, writes Deirdre Yeung of Total Derivatives.

  • BofA Merrill launches new payments software into Taiwan

    The US bank has launched a new regional product called CashPro Any2any in the island. The software tool lets companies process files in any format, making it easier for them to execute payments.

  • ICBC prepares debut Formosa bond, may opt for dual listing

    Industrial and Commercial Bank of China (ICBC), China’s biggest state-owned bank, is looking to make its debut on Taiwan’s Formosa bond market, DCM bankers have told GlobalRMB. Following in the footsteps of its Chinese peers in looking to sell a renminbi bond on the GreTai Securities Market (GSM), ICBC could be targeting around Rmb3bn (US$488.5m).

  • Indonesia’s 10 year triumph shows maturity in more ways than one

    Indonesia proved it had come of age as a sukuk issuer this week. The issuer built its largest orderbook ever for an Islamic deal and beat its yield target as a result. But more important was the tenor. The sovereign enticed a host of accounts — new and old — into what was its largest and longest dated sukuk yet.

  • Denver boutique eyes short futures, long call VIX structure

    Denver-based financial boutique IPS Strategic Capital is looking to launch soon a structured note strategy that will combine selling short futures positions on the CBOE Volatility Index, while using long call options as a hedge.

  • CSA need tipped to decline in cleared, SEF world

    The need for credit support annexes may be reduced due to regulation that requires some financial instruments to be cleared through clearinghouses and traded on swap execution facilities, according to market officials.

  • Rare collateral brings up rear as ABS pipeline refills

    Issuance in the US market has picked up following the holiday weekend, with six ABS deals in the pipeline. Almost all asset classes are represented this week, with auto ABS, credit cards and RMBS leading the charge alongside some transactions with rarer collateral.

  • SFIG swamped as market searches for Reg AB II answers

    ‘Unparalleled’ industry interest in the Regulation AB II rules approved by the US Securities and Exchange Commission last week led a huge number of industry participants to join calls with a leading industry group on Tuesday, after a pre-Labor Day rush by lawyers to digest the documents.

  • Raters square up over single-family rental

    Fitch sent a warning shot to the single family rental securitization market on Tuesday, as American Homes 4 Rent announced its second deal in the asset class. The new transaction has a preliminary rating of triple-A from Kroll and is slated to receive a rating from Moody’s. But Fitch said refinancing risk and leverage were reasons for not rating deals higher than single-A in the controversial new market.

  • CME, SCH to develop OTC products and services

    Chicago-based CME Group and the Shanghai Clearing House plan to jointly develop products and services in the over-the-counter derivatives market and will cooperate in areas of risk management and market research.

  • TMCC and FdR thrive in seven year €

    Wednesday would have been the busiest day for European corporate bond issuance since the August break, even without Sanofi’s €3bn stormer.

  • Volvo brings third bond in three weeks with €300m FRN

    Volvo, the Swedish lorry and bus maker, has been full of surprises in the past three weeks. Its issuance of the first euro corporate bond of the season was notable enough, then it popped back a week later with another — with BMW the only other entrant in the market.

  • Corporate issuance hits full speed as Sanofi blockbuster blows out

    Europe’s corporate bond market burst into full scale action today, after two weeks of sporadic new issuance. A €3bn deal from Sanofi, the French pharmaceuticals company, was joined by €1bn from Toyota Motor Credit Corp, €500m from property company Foncière des Régions and yet another small deal from Volvo (see separate story).

  • Bankers fight for relevance in tech M&A

    Silicon Valley’s deal boom is noteworthy because in many cases, investment banks aren’t involved, writes David Rothnie. Staying relevant in this sector runs against the short term cost control mantra prevalent in banking today.

  • JPM hires for FIG DCM

    JPMorgan has hired from Morgan Stanley in financial institutions debt capital markets, shortly after moving three senior members off the team.

  • Deutsche Wohnen launches refinancing CB

    German property firm Deutsche Wohnen launched a €400m convertible bond that it said would help optimise its financial structure.

  • LME Clear receives EMIR approval

    The clearinghouse of London Metal Exchange, part of the Hong Kong Exchange Group, has received authorisation as a central counterparty under European Markets Infrastructure Regulation, with effect from Sept. 3, ahead of its go-live date on Sept. 22.

  • BW Group sells LPG exchangeable

    International oil and gas shipping firm BW Group sold a $250m bond exchangeable into shares in BW LPG on Wednesday, reopening the equity-linked market after the summer.

  • German online retailer launches IPO

    Zalando, the German online retail firm, launched an IPO on Wednesday that could be one of Europe's biggest technology floats in years.

  • Hugo Boss block falls victim to damp post-summer

    Permira sold down part of German fashion firm Hugo Boss on Tuesday night, one of two block trades that ran into some trouble that evening.

  • HY cash set up hedges in iTraxx Crossover

    High yield cash investors have been seen setting up new hedges in iTraxx Crossover, with popular strategies including bearish risk reversals and payer spreads.

  • Bureau van Dijk first to levfin starting line in September with €620m loan

    Dutch business publisher Bureau van Dijk has started the autumn run of leveraged loan deals, launching a €620m loan to back its buyout by EQT.

  • Booker opens block market with £196m trade

    German cash and carry firm Metro sold its entire holding in wholesale food firm Booker on Tuesday night, one of two blocks that kicked off the post-summer overnight market.

  • Telekom Austria seeks €1bn RCF after Móvil ups stake

    Telekom Austria, the telephone and internet services provider controlled by Carlos Slim's América Móvil, has launched syndication of a €1bn five year revolving credit facility to refinance its loan due in 2017.

  • UK auto ABS treated to more supply as GMAC mandates

    Hungry buyers of sterling denominated auto ABS will be treated to more supply next week after GMAC UK mandated banks for its fourth UK E-Carat transaction, following on from Volkswagen’s Driver Two trade priced on Wednesday.

  • Ukraine mandates for standalone Eurobond

    Ukraine has mandated three US banks and one European firm to arrange its next Eurobond, which is expected to be the country's first standalone international bond since the start of the Crimea crisis.

  • Future uncertain for Shanda LBO loan as sponsors pull out

    Bankers have been left in the lurch as changes in the consortium for Shanda Games’ going-private plans mean a $850m leveraged buyout loan now hangs in the balance.

  • Ghana sets investor meetings for bond

    The Republic of Ghana has set dates for a European and US roadshow for its new Reg S/144A Eurobond.

  • VW pulls non-UK accounts to sterling with £1bn Driver Two

    Volkswagen Financial Services priced its second UK auto ABS transaction on Wednesday morning, pulling in a big proportion of non-UK buyers to ensure a small oversubscription on the £1bn deal.

  • UniCredit book confirms a change is afoot in AT1 dynamic

    UniCredit looks set to confirm that a sea change is afoot in the additional tier one (AT1) market, as it prepares to print its first euro denominated deal in the format in line with initial price thoughts and with what is likely to be a book smaller than €2bn.

  • Bookrunners point the finger at KDB as bond tanks in secondary

    Bookrunners on Korea Development Bank (KDB)’s most recent bond have been scathing about the borrower’s approach to pricing and deal execution. And the complaints look to have a strong basis with the trade selling off aggressively in secondary market trading.

  • Conducive basis swap draws US duo to euros

    Bank of America and Citi both took to the euro market on Wednesday with self-led trades, looking to price seven and 12 year notes respectively. More US issuers are likely to look at selling euro debt in the coming weeks, drawn by access to longer dated funding and attractive pricing compared to dollars.

  • China Taiping prices Asia’s first insurance perp

    China Taiping benefited from increased support for the insurance sector by the China on Wednesday and priced a perpetual bond 42.5bp inside initial guidance on the back of strong demand. Bankers say the transaction marks a change of sentiment towards the credit as its previous transactions had not received much demand.

  • Brazil’s GOL roadshows for bond

    Brazilian low cost airline GOL has mandated five banks to arrange a new bond in conjunction with the tender offer for its 7.5% 2017s, 9.25% 2020s and 10.75% 2023s.

  • China Electronics raises $1bn for Nanjing project

    State owned China Electronics has secured a $1bn borrowing from Agricultural Bank of China and Bank of China. The lenders plan to launch the loan into general syndication in the next couple of weeks.

  • EBRD agrees Turkish loan and recommits $1bn to Ukraine

    The European Bank for Reconstruction and Development has agreed a $50m five year loan to Turkish consumer electronics firm Vestel Elektronik Sanayi ve Ticaret.

  • Turkish Airlines mandates two banks, considers EETC

    Turkish Airlines has mandated Citi and Goldman Sachs to for a series of investor meetings that leads are calling an “exploratory” exercise.

  • KHNP picks five for bond roadshow

    Korea Hydro & Nuclear Power (KHNP) has mandated five banks to arrange a series of fixed income meetings that is scheduled to kick off from September 8.

  • Periphery to embrace prime curve extending conditions

    Whether it is because investors have full faith in the eurozone periphery recovery story, are desperate for yield or a bit of both, there was little doubt this week that sovereigns in the region will be able to extend their average maturities in the coming months.

  • CEEMEA makes stunning September return as bonds line up

    The CEEMEA bond market is returning in force with three Turkish issuers and two from the Middle East in the market looking for conventional bonds, and two CEEMEA issuers also looking for sukuk.

  • Santander provides first view of new AT1 landscape

    The return of the primary market for additional tier one (AT1) securities on Tuesday showed that the previous conventions of wildly oversubscribed books may well be a thing of the past, said bankers. Santander's reopener — a €1.5bn perpetual non-call seven year — attracted in what may have been the smallest book yet for an AT1 deal.

  • Haitong opens books for second dollar bond

    Haitong International Securities Group started receiving orders for a dollar bond on September 3, nearly a year since it made its international debut with a $900m 2018 paper.

  • Tianhe suspends shares on Anonymous allegations

    Tianhe Chemicals Group, which listed on the Hong Kong Stock Exchange in mid-June, has halted trading of its shares after being hit by allegations of wrongdoing by stock research firm Anonymous Analytics.

  • Taiwan’s Ju Teng International seals $200m loan

    Taiwanese notebook casings maker Ju Teng International has raised a $200m triple tranche three year loan via two subsidiaries — Jiu Ding International and Dynamic Apex Macao Commercial Offshore.

  • Books close for ABC Dubai debut CNH bond

    Books have closed for the debut offshore renminbi bond from Agricultural Bank of China (ABC) Dubai Branch, with a banker close to the deal reporting that orders had reached about Rmb1.2bn ($195m) by 3pm Hong Kong time on Wednesday. The books closed at 4:45pm.

  • Fitch tackles Scottish independence currency fears for RMBS

    The high credit enhancement of UK RMBS transactions mean a yes vote for Scottish independence in this month’s referendum poses only a remote risk to them, according to Fitch Ratings. But there remain no mechanisms in transactions to address the risks of a currency redenomination.

  • Overseas issuers, floaters to spice up corporate bond season

    Europe's corporate bond market looks set to be enlivened in the coming months by two of the trends which characterised the first half of the year. Foreign issuers are flocking to the euro market, with at least four deals in the market's burgeoning roadshow calendar emanating from US and Australian companies.

  • Investors craving Qilu’s debut dim sum

    Dim sum hungry investors finally have a deal to satisfy their appetite thanks to Chinese brokerage firm Qilu International Holdings, which opened books to a three year bond on September 3.

  • Belle setting up shop for $200m Sinophil follow-on

    Philippine property developer Belle Corp started holding meetings with investors this week to divest some of its shares in Sinophil Corp, which has been renamed Premium Leisure Corp.

  • Chailease winds up $137m loan with 10

    The international arm of Taiwan’s Chailease Finance has exercised the greenshoe option on its three year loan, closing the deal at $137m with ten lenders supplying the funds.

  • Orders pile in for BTMU’s $4.5bn multi-trancher

    Fixed income investors were more than happy to see the return of Bank of Tokyo-Mitsubishi UFJ on September 2, tabling more than $14bn of orders for the $4.5bn five tranche offering. The blowout transaction was the second of the year for BTMU, replicating a structure that worked out well for it six months ago.

  • Sri Lanka's NSB stands out among $7bn of supply

    Sri Lanka’s National Savings Bank (NSB) made a stellar return to the market on September 2 as its rarity enabled bankers to tighten initial guidance by 35bp and drove pricing well inside where the bank’s debut bond came in 2013.

  • European RQFII funds test A share appeal

    Heptagon Capital, a UK-based asset manager, has partnered with China's Harvest Global Investments to open fundraising for the first daily traded and actively managed China A shares UCITS fund. Meanwhile Ashmore Group, another UK fund manager, has announced three SICAV funds covering Chinese debt and equities.

  • ICBC Macau to issue Basel-free subordinated bonds

    Industrial and Commercial Bank of China (Macau) opened guidance on subordinator bond issue on September 3. As Macau does not follow Basel guidelines, the bond will not be subject to Basel III regulation.

  • Indonesia sails to success with 10 year sukuk

    The Republic of Indonesia launched a $1.5bn 10 year sukuk on Tuesday afternoon, enjoying a smooth bookbuild that left the deal fully subscribed early on in execution. Pricing was fair from the outset, said investors, who were rewarded with a 20bp premium over where the issuer’s conventional dollar bonds were trading.

  • CBOE see record month for VIX futures

    The Chicago Board Options Exchange saw the most active month ever for futures on the CBOE Volatility Index this August, surpassing previous monthly volume and average daily volume records.

  • SoFi to bring third securitization and offer mortgages

    Peer-to-peer lender SoFi is planning to bring a $300m-plus securitization this November, as it seeks to broaden its appeal to institutional investors. The move comes as the firm expands into the mortgage and consumer loan markets in addition to its original student loan product — and as private issuance of student loans bounces back.

  • Mayer Brown hires LatAm structured expert in DC

    Mayer Brown is welcoming back an expert in Latin American project finance, structured finance and acquisition financing to its Washington, DC office.

  • KRX introduces raft of changes ahead of vol futures trading

    The Korea Exchange is remodeling its futures and options market, introducing real-time limits on derivatives prices and reforming the system for fixing erroneous transactions as the bourse gears towards the introduction of futures on its Volatility-KOSPI200 index.

  • German property firm DIC Asset refis with €125m bond

    DIC Asset, the unrated German property company, launched its third bond today, a €125m issue led by Citigroup and Bankhaus Lampe.

  • British American appeals on Swiss debut

    Bankers, investors and issuers alike have been keen to sing the praises of green bonds and other socially responsible investments during 2014. Nevertheless, the largest and most successful bond issue in Swiss francs this year — a Sfr1bn triple tranche from British American Tobacco, sold on Monday — came from a much-criticised industry.

  • Hedge funds hold out for cheaper clearing costs nearer deadline

    Hedge funds acting as clients of clearing members may delay clearing trades under the European Markets Infrastructure Regulation to allow the members to finanlise necessary documentation in a bid to save on costs.

  • Reiter, Bucher and Bobst take advantage of low Swiss rates

    Three Swiss companies issued domestic bonds on Monday and Tuesday, tapping into demand from retail investors. The issuers got attractive pricing as a result of the market’s extremely low interest rates, and demand is likely to remain robust for further deals.

  • The tide is turning on Europe’s underloved IBs

    Cynicism is infectious, especially in the capital markets, and it has been easy to sneer at Europe’s investment banks. Lacking scale in the muscle-bound world of bond trading, and hobbled by scandal and regulation, the prevailing narrative has been that they should go big or go home.

  • Pushing maturities is the next stage of peripheral recovery

    Spain showed the rewards of being creative with its longest ever bond of the euro era on Monday, chopping €1bn from its funding needs with a deal that will mature when the eurozone debt crisis is a matter for history books, not newspapers. With more dovish measures possibly on the horizon at this week’s European Central Bank meeting, issuers could soon find that such deals are the best way to add some duration to their debt profiles.

  • Fx vols spike as euro options snapped up

    Investors are increasingly buying options on the euro, particularly against the dollar and sterling, which is helping to push volatility up following months of low fx volatility.

  • Oman Oil signs $1.85bn club loan

    Oman Oil Co, a state-owned investment arm of the sultanate, has signed a $1.85bn unsecured financing with banks, according to two loans bankers.

  • Coca-Cola mother company seeks ultra-rare euro bond

    The Coca-Cola Co, the Atlanta-based multinational soft drinks producer, has named bookrunners for a possible euro bond. Unlike some of its related bottling companies, Coca-Cola is a very rare issuer in euros, with no deals outstanding.

  • Boris island ditched – disaster averted

    Boris Johnson’s plan for a new island airport east of London is a vainglorious waste of money. The UK’s decision to build new runway capacity at Heathrow or Gatwick is the right one. They are proven capital markets players and are best placed to deliver.

  • Woolworths sets terms on rights issue

    South African retailer Woolworths has set terms on its R10bn ($937m) capital raise, that will be used to fund a recent acquisition.

  • ABC Dubai CNH debut expected on Wednesday

    The debut offshore renminbi bond from Agricultural Bank of China (ABC) Dubai Branch is expected to launch on Wednesday morning Dubai time after a conference call between the lead banks and the issuer, according to a banker close to the deal.

  • Tikehau hires two ex-bankers to grow private lending

    Tikehau, the French alternative lender, has hired two former bankers to grow its European private debt team.

  • Let this be the autumn that ECM comes of age

    The last two Septembers in the equity capital markets have been marked by frenzy and excitement. This autumn, at last, should be the one the market returns to normal — and the winners will be those that adjust their strategy to match.

  • Premiums grow juicier as Nykredit looks for floater print

    Danish lender Nykredit Realkredit mandated banks on Tuesday morning for a new five year floater. An attractive spread over Euribor continued a trend of issuers offering enticing premiums this September.

  • Virgin brings back Gosforth as FLS effect melts away

    Virgin Money has mandated banks for its first new RMBS sale since 2012, in a further sign that a weakened Funding for Lending Scheme and a tightening of UK RMBS spreads is making the market tempting once more to a bigger pool of issuers.

  • Santander book size drops by €13bn since last euro AT1

    Santander is out with the first additional tier one (AT1) trade from a major European bank since June, bringing just a €3.75bn book ahead of pricing for a perpetual non-call seven year deal — suggesting that the demand dynamics of the asset class may have changed since the first half of the year.

  • RBS cuts CEE bonds and loans, Mustafa to leave

    Hasan Mustafa, head of CEEMEA debt capital markets and risk solutions, is leaving Royal Bank of Scotland as it takes the axe to its emerging markets business.

  • Íslandsbanki’s Knudsen exits banking

    Ósvaldur Knudsen, head of treasury at Íslandsbanki, has left the company to take a job outside the banking industry.

  • Imperial Tobacco closes oversubscribed $13bn loan syndication

    British cigarette maker Imperial Tobacco has secured financing for its $7.1bn acquisition of brands from Reynolds American, and refinanced its existing revolving credit facilities.

  • Santander Consumer steps up size as it builds Bilkreditt brand

    Santander Consumer Bank is set to make good on its ambition to make its Norwegian arm a more established presence in the European auto ABS market this week after launching its first deal of the year. Bankers said the initial price thoughts on the deal indicated a tightening trend brought about by an increased number of investors coming into the name.

  • Xiaomi launches $1bn borrowing into general

    Mobile phone maker Xiaomi has opened its $1bn dual tranche loan into general on Tuesday afternoon, after cementing a bookrunner and mandated lead arranger group of 20 banks.

  • India issues RFP for PFC and REC divestment

    After Oil and Natural Gas Corp (ONGC) and NHPC, the Indian government has now set to sell stakes in two more state-owned companies. The deals could collectively raise as much as Rp21.4bn ($353m) based on current prices.

  • Alibaba’s IPO is well worth the wait

    There was plenty of speculation about the timing on Alibaba Group’s IPO even before the e-commerce company officially announced its listing plans. The saga took another turn this week as the launch date was postponed. But with the stakes high for the whole industry, it’s better for Alibaba to take its time and get the deal right.

  • BTMU back with multi-tranche bonanza

    The Bank of Tokyo-Mitsubishi UFJ (BTMU) is back in the market with its second mammoth multi-tranche offering of the year.

  • Investors pour into Indonesia’s 2024 sukuk

    Books for the Republic of Indonesia’s 10 year sukuk are building up with bids already surpassing the $2.5bn mark by early afternoon September 2, according to bankers.

  • KDB struggles amid tight spreads and competing supply

    Bankers adopted a more tactical strategy for Korea Development Bank’s new 5.5 year, choosing to announce the deal in the Asian afternoon on September 2 in a bid to focus more on US investors. However, demand has not lived up to expectations in the face of competing market supply and tight Korean credit spreads.

  • Italian SME CLOs 'protected against economy'

    The relatively short senior tranches of Italian SME CLO transactions are protecting them from the weak performance of the country’s SMEs, according to Fitch, thanks to strong credit enhancement levels and unique structural features.

  • Singapore plans to ease retail access to bonds

    The Monetary Authority of Singapore and the Singapore Exchange (SGX) have released proposals that would make it easier for retail investors to buy bonds.

  • NSB opens rare Sri Lankan bond

    Sri Lanka’s National Savings Bank (NSB) has opened guidance on a new dollar bond which is capped at $250m. Rarity in terms of both credit exposure and deal size should mean that the bond receives plenty of orders, according to bankers.

  • ABC Dubai branch to issue debut CNH, paves way for Dubai hub

    Agricultural Bank of China (ABC) Dubai Branch is set to launch its debut renminbi-denominated bond this week, two bankers close to the deal have told GlobalRMB. The deal will mark the first offshore RMB bond from the UAE operation of a Chinese bank and paves the way for Dubai to become the RMB hub for the Middle East region.

  • Invitations out for Phoenix Healthcare, Charoen Pokphand

    Chinese private hospital group Phoenix Healthcare has issued invitations for a $100m three year loan that has Deutsche Bank as bookrunner and mandated lead arranger.

  • Oceanwide debut keeps investors happy with 12% yield

    Beijing-based Oceanwide Holdings made its debut in the bond market on September 1, raising $320m from a five year non call three paper that was met with some scepticism by investors who questioned the firm’s future business plans.

  • China Taiping attempts Asia's first insurer perp

    China Taiping has opened guidance on what is the first perpetual bond from an Asian insurance company. The launch follows a series of investor meetings in Europe and Asia last week.

  • Bangkok Dusit starts investor meetings for CB

    Bangkok Dusit Medical Services Public Company, which in mid-June said it was seeking shareholder approval to issue a convertible bond, has now started investor meetings for the offering.

  • Total Derivatives: 5y offered after soft data but rally looking overdone

    Although the data-related rally in CNY rates extended on Tuesday, sources said the move was beginning to look overdone. A currency-driven bid in short-end swaps has backed the recent flattening in the 2s/5s swap curve slope, writes Deirdre Yeung of Total Derivatives.

  • Linekong starts the game for $150m Gem IPO

    Online gaming company and mobile game developer Linekong Interactive has filed for a listing on the Growth Enterprise Market (Gem) of the Hong Kong exchange. The issuer is aiming aiming to raise roughly $150m, which would make it one of the largest ever IPOs on that segment of the exchange.

  • Bharti puts Sing dollars and sterling in its sights - interview

    Bharti Airtel has no plans to rest on its laurels having emerged as one of the most opportunistic borrowers in Asia over the past 12 months. Instead the borrower is already seeking out funding opportunities in new currencies in a bid to further diversify its investor base.

  • Wind power developer Arise launches second green bond

    Arise, the Swedish wind farm developer, has launched its second green bond, raising Skr350m (€38m). Arise’s activities are entirely in the field of wind power, meaning that it should not need to label its bond as green to attract environmentally minded investors – yet it did so.

  • Deutsche Bahn stokes floating rate debate

    Deutsche Bahn returned to the floating rate note market on Monday with a €300m eight year deal, an even longer tenor than the six year FRN it issued in July. That was itself the longest dated syndicated corporate floater since February 2012. Bankers are divided on the wisdom of such deals.

  • Ahlstrom plans €100m bond issue for tender offer

    Ahlstrom, the Finnish fibre-based materials company, is considering issuing a new unsecured five year fixed rate bond of about €100m.

  • Liquid Telecom seeks $150m loan to grow African network

    Liquid Telecom, the African fixed line provider, is set to launch a five year financing to expand its international network.

  • Nyrstar refreshes capital structure with bond and rights as it deleverages

    Nyrstar, the Belgian mining and metals business, wants to raise €600m through a €250m rights offering and €350m bond issue, as it seeks to buy back existing bonds, reduce its net leverage and fund an upgrade of its smelters.

  • South African food firm launches IPO

    South African prepared meal firm Rhodes Food Group launched a Johannesburg IPO on Monday.

  • Douglas Holding gets €1.1bn August repricing at favourable terms

    German retail conglomerate Douglas Holding closed the order books on Friday for its €1.085bn leveraged loan deal, which reprices its drawn and undrawn debt at borrower-friendly margins.

  • Belgium's Corialis prepares €483m loan to start levfin season

    Corialis, the Belgian supplier of aluminium for domestic structures, is close to launching a €483m loan to back its buyout by Advent International.

  • Hedge funds snap up steepeners on iTraxx Main ahead of roll

    Big asset managers and hedge funds are putting on steepeners in the iTraxx Main index, expecting steepening between the five and 10 year points of the curve when the index goes through its semi-annual roll over to its 22nd series on September 22.

  • Emaar kicks off long awaited mall IPO

    Emaar Properties launched a long expected IPO of its mall unit on Monday, making it the first company to jump into what is expected to be a very busy autumn new issue market.

  • Investors expect Sharjah sukuk to price back of RAK

    The emirate of Sharjah will be ready to launch its debut sukuk next week after starting investor meetings on Wednesday. A Middle East market awash with liquidity will welcome the deal with open arms, but the issuer is still likely to offer a concession relative to the main comparable Ras Al-Khaimah, said one investor.

  • Kames boosts banks team with hire from ING

    Kames Capital, an Edinburgh based investment manager, has bolstered its fixed income financials team by hiring Alexander Pelteshki — formerly of ING — as an investment manager.

  • New Scope chief looks to break into Pfandbrief, expand corporates

    Scope Ratings, which hired Standard & Poor’s Credit Market Services managing director and chief of its German operations as its new chief executive, is in talks to hire staffers for an upcoming Pfandbrief rating platform, and is looking to expand its small cap corporates rating business to cover mid and large cap ratings.

  • Alsacia bondholders sign up to restructuring

    Chilean bus operator Inversiones Alsacia said on Sunday afternoon that an “informal” group of bondholders — owning more than 60% of its existing debt — had agreed to the company’s debt restructuring.

  • Emirates NBD sparks debate as it roadshows non-Basel III compliant bond

    Emirates NBD has announced a roadshow for a perpetual tier one bond. But the bond will not be structured with the aim of being Basel III complaint, which sparked debate among bankers on and off the deal.

  • Deutsche opens September issuance with seven year

    Deutsche Bank is set to make a quick start to September’s deal flow on Monday with the issuer circulating initial price thoughts for a new seven year print. The deal is expected to draw strong demand — much like a recent floating rate print from the issuer — as a result of expectations of low supply this autumn and an attractive premium over secondaries.

  • Bankers welcome VW auto deal with price debate

    Volkswagen Financial Services may take distributed UK auto ABS supply for 2014 above last year’s total by the middle of this week having put out initial price thoughts for Driver UK Two, ahead of a number of deal announcements expected for the European ABS market in the next few days.

  • Arcelik mandates for first Turkish corporate euro bond

    Arcelik, a Turkish home appliances and consumer electronics company, has mandated BNP Paribas, Citi and HSBC for a euro-denominated Reg S bond. The deal will mark the first ever bond in the currency for a Turkish corporate.

  • EOC to open books for Singapore IPO this week

    Oslo-listed EOC is set to open books this week for a $250m secondary listing on the Singapore Stock Exchange, and has filed a preliminary prospectus with the city-state’s authority.

  • BNP Paribas hit by sting operation

    You do not spend just short of two decades in two of Europe’s top debt capital markets syndicate teams if you crumble under pressure.

  • Huarong lines up eight investors for $2.4bn

    China Huarong Asset Management has signed up a group of eight strategic investors to take on a collective 20.98% stake in the bad-debt manager, ahead of a planned IPO in Hong Kong next year.

  • ABP refinances last 2011 loans with £400m revolver

    Associated British Ports, which owns and operates 21 ports in England, Scotland and Wales, has refinanced the last of its batch of loans signed in 2011 with £400m of new revolving credit facilities.

  • BoC, CCB wrap up Taipei branch Formosa debuts

    The Taipei branches of Bank of China (BoC) and China Construction Bank (CCB) wrapped up their debut Formosa bonds last week, with both entities selling Rmb2bn ($325m) in multi-tranche deals. BoC's attracted particular attention, bankers said, by virtue of its status as the official renminbi clearing bank for Taiwan.

  • The 39th Floor

    At two to three every Friday, several men and women, most of them in their early thirties, walk confidently into the vast, sunlit room, sure of their prize. At three, on the dot, a petite woman carries in two platters of freshly baked cookies - white chocolate or raisin - and rings a large golden bell. The remaining colleagues - those who still need the Pavlovian reminder after months of practice - hurry in and congregate around the long, wooden table.

  • India starts roadshows for $227m Sail divestment

    The Indian government has started holding investor roadshows which will seek investors’ interest for the sale of shares in Steel Authority of India Ltd (Sail) even though the meetings are being described as non-deal by bankers.

  • Bank bid pushes CBA to huge RMBS

    Commonwealth Bank of Australia has left a A$4bn (€2.85bn) hole in the pockets of RMBS investors after quadrupling the size of its Medallion Trust Series 2014-2 transaction.

  • China Oceanwide out with five year debut

    China Oceanwide Holdings Group (Oceanwide) has announced guidance on its debut international bond and will use part of the proceeds to fund a project in Los Angeles.

  • Total Derivatives: CNY belly given on PMI, shorts bid

    Weaker than expected Chinese PMI data has supported receiving in three to five year CNY swaps, while a weaker currency fixing has backed light paying around the two year sector, writes Deirdre Yeung of Total Derivatives.

  • Alibaba IPO slated for next week, as others wait and watch

    E-commerce firm Alibaba Group, which was expected to open books for a jumbo IPO on September 2, has decided to push back bookbuilding by a week. This is bad news for other issuers sitting on the sidelines as they will have to wait slightly longer before they go ahead with their own listings.

  • StanChart hires HSBC’s Ganatra as MTN chief

    HSBC veteran Annemarie Ganatra has resurfaced at Standard Charted in Hong Kong as the bank’s new head of MTNs.

  • BNPP IP picks new CEOs for Hong Kong and Japan

    BNP Paribas Investment Partners has appointed new CEOs for its operations in Hong Kong and Japan.

  • Yield hunters snap up Jababeka as exchange offer is announced

    Indonesian industrial estate developer Kawasan Indus tri Jababeka is meeting investors in Asia this week for an exchange offer of its existing 2017s. Those bonds have rallied in secondary as the exchange offer is the only way investors can get their hands on the new bonds which are offering an attractive yield.

  • La Chapelle dresses up for new HK IPO

    Shanghai La Chapelle Fashion is aiming to list on the Hong Kong Stock Exchange, having filed a preliminary prospectus for the IPO on August 29 — three years after shelving plans for a Shanghai listing.

  • Bankers unconvinced as HKEx consults on dual shareholding

    It is probably no coincidence that in the week Alibaba is due to start pre-marketing its $20bn IPO, the Hong Kong Exchange has launched a concept paper on whether it should allow dual class shareholdings.

  • Sportswear brand 361° kicks off CNH investor meetings, Tsinlien mandates

    361 Degrees International, a Chinese sportswear brand targeting second and third tier cities, is meeting investors for its debut offshore renminbi bond. Tsinlien Group, meanwhile, has mandated banks for its own CNH deal.

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 15 Sep 2014
1 JPMorgan 236,669.42 907 7.79%
1 JPMorgan 236,669.42 907 7.79%
2 Barclays 223,438.56 768 7.36%
2 Barclays 223,438.56 768 7.36%
3 Deutsche Bank 218,228.09 863 7.19%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 09 Sep 2014
1 BNP Paribas 39,660.36 154 8.11%
2 Credit Agricole CIB 24,330.07 97 4.97%
3 HSBC 23,779.73 134 4.86%
4 RBS 23,478.35 90 4.80%
5 Barclays 22,822.43 93 4.66%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 09 Sep 2014
1 JPMorgan 20,902.10 99 9.14%
2 Goldman Sachs 20,719.76 65 9.06%
3 Deutsche Bank 18,927.22 64 8.28%
4 UBS 17,441.89 69 7.63%
5 Bank of America Merrill Lynch 17,285.81 59 7.56%