Covered Bonds

Dexia has appointed Véronique Hugues to global head its long term funding activities as the successor to Sylvie Vadé.

Deutsche Postbank has priced its first jumbo mortgage Pfandbrief at 2bp, the tight end of the 2bp-4bp guidance. Following the SEB’s success, Postbank made it a good week for debut issues with a rapid bookbuilding process and strong secondary market performance.

The market survived an early test of appetite for lengthy structured deals in Royal Bank of Canada’s (RBC) Eu1.25bn 10 year transaction, which was priced at 20bp over mid-swaps yesterday (Wednesday).

Caisse de Refinancement de l’Habitat (CRH) has priced its new two year euro jumbo and a tap of its now Eu2.81bn October 2014 deal this afternoon (Wedneday). Pricing on the jumbo was set at 1bp over mid-swaps, against guidance of plus 2bp area.

Banco Espirito Santo (BES) has mandated Barclays Capital, BES, Calyon and Deutsche Bank for its new Portuguese mortgage backed covered bond.

HSH Nordbank has priced the first jumbo shipping Pfandbrief flat against mid-swaps, at the tight end of guidance. The two year deal’s final size was fixed at Eu1bn after gathering over Eu3bn in orders.

Royal Bank of Canada (RBC) looks set to successfully re-open the long end of the covered bond market. Pricing of 20bp over mid-swaps proved enough to attract Eu1.46bn of orders, allowing the final size of the deal to be set at Eu1.25bn. Final pricing is expected this afternoon (Wednesday).

Skandinaviska Enskilda Banken AB (SEB) has priced its inaugural euro jumbo covered bond at 3bp over mid-swaps, at the tight end of the 4bp guidance. A final size of Eu1.5bn was decided on the three year deal after the bond attracted Eu4bn of orders.

Compagnie de Financement Foncier is set to move to a shorter maturity than the 10 year maturity that has been rumoured, with a five year or shorter issue due for launch this afternoon. Meanwhile Deutsche Postbank is expected to hit the market tomorrow and there is talk of the first ever Japanese covered bond, for Shinsei.

Caisse de Refinancement de l’Habitat had built a book of over Eu1.5bn for its new two year jumbo today and more than Eu300m for its tap, with pricing expected tomorrow.