Deutsche and Danish Ships covered innovations fail to sparkle
Demand for ground-breaking covered bonds issued on Wednesday by Deutsche Bank and Danish Ships Finance was adequate but both required hefty premiums — illustrating a higher degree of investor caution than had been expected.
“I’d hoped for a bigger book,” said a lead manager on the Deutsche Bank deal, who pointed to positive investor feedback during the roadshow.
“Despite the high headline spread, it’s clear there was some resistance,” conceded a banker on the Danish deal. “It wasn’t the easiest task.”Both ...