Asia Pacific

Investors are firmly back in risk-of mode this week as global stock markets take a battering. This is likely to put new issuance on hold for the rest of the month and the outlook for September also looks uncertain, say bankers.

Financing for three rival bids to acquire Tesco’s South Korean asset Homeplus feature a senior-junior split, according to market sources. One of the contenders is also said to have secured a letter of commitment from a local pension fund, considered unusual as such funds usually throw their weight behind bidders once they have emerged as the winner.

A depreciating renminbi, depressed commodity prices and tumbling stock markets have made it hard for high yield issuers to access international capital markets recently. But financing needs remain, and the gaps can only be plugged if DCM bankers take a more inspired approach to deals.

Green bond issuance in Asia has taken off this year after sluggish growth in the past, according to data by Dealogic.

Beijing Konruns Pharmaceuticals Co, a maker of cancer drugs, is planning an IPO in Hong Kong, with the company filing an A-1 on Tuesday. Credit Suisse and Goldman Sachs will jointly sponsor the trade.

Three banks signed Indian refiner Hindustan Petroleum Corp’s (HPCL) latest $250m fundraising on August 21, without syndicating the deal despite plenty of reverse enquiry.

The Republic of the Philippines is set to return to the offshore bond market as early as this year, as the sovereign hopes to take advantage of its rating upgrade.

The global stock market meltdown caused a sharp selloff in US equities on Monday and the VIX index revealed investors’ fear of further falls.

Svenska Handelsbanken is set to make its first trip to yen this year, as bankers’ hopes of seeing an early restart to FIG supply in Europe this week were hit by a global sell-off on Monday.

Banks are processing approvals for a loan of around $300m to back the purchase of Ciro’s Plaza in Shanghai.

Navkar Corp has opened books on its Rp6bn ($91m) listing in India, with the transaction netting 15 anchor investors who have committed to buy shares at the top of the price range.

China Foreign-Exchange Trade System (CFETS) started posting a debut intraday USD/CNY reference rate on its website for the first time onAugust 24. The template of a table released today shows that CFETS will publish the reference rate five times a day, a move seen to be in line with China’s determination in further liberalising its FX market.