Americas

DCM bankers in Asia are gearing up for a hectic April as investors put the US interest rate hike behind them. But how will borrowers, particularly those that are lower rated, navigate the many fundraising challenges ahead? Addison Gong finds out.

China’s promotion of a home-grown depository receipt market is already gaining traction, even before the rules around it are published, with the big four technology giants showing their interest in returning home. But while China Depository Receipts (CDRs) will put pressure on the Hong Kong exchange, it will be some time before they pose a serious threat, writes Jonathan Breen.

Peru’s dollar denominated sovereign bonds dipped in secondary markets on Wednesday afternoon after president Pedro Pablo Kuczynski (PPK) resigned before a pending impeachment vote, but had recovered most of their losses by end of play.

The order book for OneSmart International Education Group’s $212m IPO on the New York Stock Exchange is well covered across the price range, said a banker at one of the leads.

AT&T’s Latin American subsidiary began investor meetings on Wednesday ahead of an international bond debut that may include an Argentine peso tranche.

Funding officials said green bonds had stimulated other sustainability work across their organisations at the Climate Bonds Initiative conference in London on Tuesday.

Bank of Nova Scotia (BNS) was this week obliged to pay a generous new issue premium for its second euro benchmark of the year, reflecting weaker credit conditions, investor indigestion and its desire to issue in large size.

Fitch Ratings said on Tuesday that Vrio Corp, AT&T’s Latin American subsidiary, was planning a $1.5bn international bond issue half denominated in Argentine pesos.

Equity markets took a hit this week in the wake of revelations that big data political consultancy Cambridge Analytica, managed to obtain data from millions of Facebook profiles, sparking concerns about possible government-led crackdowns on data and tech companies around the world.

US health insurer Cigna has agreed a $26.7bn bridge loan from two banks as part of its deal to buy Express Scripts, in a transaction lenders say highlights how deep liquidity is in the market.

Celse (Centrais Electricas de Sergipe), the Brazilian energy company, has begun an investor roadshow ahead of the planned issuance of Brazilian real-denominated notes backed by Swiss Export Risk Insurance (Serv).

Brazilian meatpacker Minerva will hit the road on Wednesday ahead of a planned new perpetual bond issue that will pay for a tender offer of the company’s existing perps.