Sentiment shift crunches KBC AT1 after tight coupon record

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Sentiment shift crunches KBC AT1 after tight coupon record

KBC
View of the logo of Belgian banking and insurance group KBC in Brussels, February 12, 2009. Belgian banking and insurance group KBC booked a 2.6 billion euros ($3.4 billion) fourth-quarter loss due to writedowns and said on Thursday it saw a rising level of loan losses in Eastern Europe. REUTERS/Francois Lenoir (BELGIUM) - RTXBJDT | © Francois Lenoir / Reuters/REUTERS

Over €10bn of orders proved inadequate insurance against a shift in sentiment this week as the tightest additional tier one debt deal yet — KBC Group’s €1.43bn perpetual non-call five — widened in secondary trading. The pullback followed the deal emerging even further inside 6% than its landmark predecessor.

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