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LUKOIL, Russia's premier oil company, is poised to return to the Euro-convertible bond market for a new financing, Euroweek has learned. Market sources say syndicate invitations have been received from SBC Warburg Dillon Read for the issue, whose details will be publicly announced next week.

* Russia' s Avtobank is due to start roadshowing an inaugural Eurobond offering in Asia, Europe and US next week via Crédit Agricole Indosuez. The expected $100m fixed rate issue will be the first off Avtobank's $50Om Euro-MTN programme arranged by Crédit Agricole. Launch is likely to take place shortly after the final round of investor presentations in New York on October 23. The bank is rated Ba3 by Moody's Investors Service.

CONCERNS over interest rate movements in Germany and the US failed to dampen international fixed income investors' enthusiasm for Turkish risk this week, with a debut dollar issue for Türkiye Garanti Bankasi and a benchmark Deutschmark transaction for the Republic of Turkey both drawing strong demand. First to come to market was Euromarket debutant Türkiye Garanti Bankasi, which launched a $350m five year Euro/144A offering via its Cayman Islands-registered special purpose vehicle Pera Financial Services Co.

STRONG investor interest enabled Banco Rio de la Plata to boost the size of its initial public offering on Thursday night to raise $719m -- the biggest Argentine IPO so far in 1997. The deal was priced at $15 per ADR, in the middle of its $14 to $17 price range. Rather than push the market for a higher price, global coordinators Merrill Lynch and Santander suggested the selling shareholder increase the stock up for sale from an original 34.5m ADS and ADS equivalents to 42.32m.

THE LEAD managers' decision to price the latest instalment of the Portugal Telecom privatisation at a discount was immediately vindicated yesterday (Thursday) as the Bundesbank's interest rate caused widespread falls on European bourses. Following a highly successful marketing campaign, the sale of a further 18% of Portugal Telecom -- the third stage of the government's privatisation of the telecom operator -- closed earlier this week heavily oversubscribed.

* Morgan Stanley completed two successful IPOs this week, for American Italian Pasta Company, one of the largest pasta producers in the US, and the electronics company Stoneridge. The shares were priced Wednesday for American Italian at $18, a dollar above the pricing range of $15-17, raising a total of $142m. The amount of shares offered was also increased from 5.9m to 7.9m shares to satisfy demand for the stock. Demand was reported equally strong from both international and US investors, with the success of the issue attributed to the relative lack of high-quality good food names in the US stock market. Shares were trading well yesterday, opening at $21.25 and closing at $22. Co-lead managers for the issue were BT Alex Brown, Goldman Sachs and George K Baum.

* French theme park Parc Astérix will shortly be floated on the Nouveau Marché when over 63 per cent of the company will be sold. The offer price, to be announced on October 16, will be set between FFr145 and FFr165, and trading will start on October 24. The issue will comprise an offer of up to 345,000 new shares and 1.8m old shares, to be sold by existing shareholders.

* Robert Fleming is poised to complete the global offering of GDRs in Banque Audi, the Lebanese retail and commercial bank. Bankers said the marketing period has gone very well, with the syndicate confident as the books are set to close today (Friday). The offer price will be announced on Monday 13 October but lead manager Flemings expects to price the GDRs at the top end of the indicative pricing range of $25-27. Syndicate members reported good orders coming in from the UK and Europe, with particularly strong interest shown by US investors. The primary shares, listed on the Beirut and Luxembourg stock exchanges, are being offered to international investors only and are 144a eligible. Each GDR will represent one share. Flemings also had the books for the successful flotation of the bank in October 1995, when they offered 2.7m GDRs at $12.60, raising a total of $34m.

THE DM5bn privatisation of German airline Lufthansa is moving into its final stages, with syndicate members confident of a smooth reception despite this week's falls in European stock markets. Yesterday's 30bp rate rise by the Bundesbank sent Frankfurt's Dax stock index tumbling by more than 2%.

FINNISH paper company Metsä-Serla priced a $300m convertible subordinated capital note issue after an oversubscription on the public tranche of 8.5 times. "We were delighted with the response," said a banker at global coordinator and book runner Salomon Brothers. "To achieve $1.6bn of demand for a Finnish convertible is probably unprecedented." The issue was designed to improve the company's capital structure by reducing financial leverage and improving its equity ratio. The Finnish Company Act was revised in September, allowing the bond proceeds to be treated as equity.

THE SHARP correction in the US Treasury market following Federal Reserve chairman Alan Greenspan's comments on Wednesday about the possibility of future US interest rate hikes gave the Eurodollar market a much needed boost as yields started to move down to levels at which investors are once again looking to enter the market. Westpac Banking Corp took advantage of this renewed interest to issue the first successful dollar benchmark the market has seen for several weeks. The $500m five year bond was re-offered at 40bp over Treasuries. Joint lead managers Nomura and SBC Warburg Dillon Read said the deal had sold out very quickly and achieved all the criteria the issuer had set -- a successful benchmark debut in the fixed rate dollar market and a broadening of its investor base beyond its traditional floating rate note buyers.

THE ASIAN Development Bank was forced to pay more than initially anticipated this week when widening 10 year spreads hit its debut DM1.5bn Eurocurrency benchmark transaction. Price talk during roadshows for the deal had focused on a spread of 10bp to 12bp over Bunds but, in response to general spread widening of 3bp to 4bp, the issuer agreed to pay 14bp over to ensure its strategic bond enjoyed a successful launch on Wednesday.