Leveraged/non-investment grade

  • UK to launch infra investment bank

    UK to launch infra investment bank

    The UK government said on Wednesday that it will form a new national infrastructure bank, in part to help the country's net zero carbon plans.

  • Unibail shrugs off rights issue debacle in busy bond market

    Unibail shrugs off rights issue debacle in busy bond market

    Unibail-Rodamco-Westfield, the shopping mall operator, priced a €2bn dual tranche bond from €7.2bn of demand on Wednesday, as fixed income investors were unfazed by its attempted rights issue having been blocked by shareholders earlier this month.

  • Investors pounce on high grade corporate ESG debt

    Investors pounce on high grade corporate ESG debt

    Investors pumped €11.65bn of orders into €1.6bn of green and sustainable corporate bonds on Wednesday, when paper company Stora Enso, utility Fluvius and real estate firm Cofinimmo all built bulging order books.

  • Bellway debuts in US private placement market

    Bellway debuts in US private placement market

    UK homebuilder Bellway has sold £130m of US private placements, according to market sources, across seven and 10 years. This is likely to be the last broadly marketed USPP deal of the year.

  • UOB sends positive signal to APAC covered bond issuers

    UOB sends positive signal to APAC covered bond issuers

    The outlook for Asian covered bond supply will have improved slightly in the wake of Tuesday’s deal from United Overseas Bank, particularly among Singaporean lenders. But issuance from Australia and New Zealand is expected to be more limited reflecting their banks' priority to get ahead with regulatory funding.

  • Covid-19: sovereign borrowing response

    Covid-19: sovereign borrowing response

    The Covid-19 pandemic is forcing many governments to expand their borrowing programmes. The table below details the impact of the outbreak on the funding requirements of major sovereign bond issuers.

  • EBA gives hope to SRT market

    EBA gives hope to SRT market

    The European Banking Authority has lifted the spirits of those working in the significant risk transfer (SRT) market by suggesting that call options and early termination rights should not disqualify a transaction from achieving SRT recognition, pushing back on proposals made by European Parliament members.

  • Greene King securitization faces default as bondholders face a choice

    Greene King securitization faces default as bondholders face a choice

    Greene King’s pub securitization Spirit Issuer is expected to default this year, after bondholders declined to waive potential covenant breaches in the same way they did for other pubcos, including the company's larger, whole business securitization. This will give bondholders the right to enforce security, but will test whether creditors want to take over the assets outright.

  • Mercuria beefs up banking group in $1.7bn facility

    Mercuria beefs up banking group in $1.7bn facility

    Mercuria, the Swiss commodity trading firm, has signed a $1.7bn credit facility for its US business, with the company reducing the size of the deal being refinanced but continuing the trend of trading firms of adding to their US banking groups.

  • ESMA: no change to derivs trading rule ahead of Brexit deadline

    ESMA: no change to derivs trading rule ahead of Brexit deadline

    As market participants prepare for the end of the Brexit transition period on December 31, the European Securities and Markets Authority has said it will not change requirements on where derivatives can be traded, even though this could cause problems for UK branches of EU investment firms.

  • Gresham House attracts strong demand for raise

    Gresham House attracts strong demand for raise

    Gresham House Energy Storage Fund, the London-listed energy storage fund, attracted strong interest from investors in its 114.3m share issue as green stocks continue to prove popular with ECM investors.

  • Ford, Dongfeng Nissan compete with auto ABS deals

    Ford, Dongfeng Nissan compete with auto ABS deals

    Ford Automotive Finance (China) and Dongfeng Nissan Auto Finance Co both returned to the onshore auto loan asset backed securities market this week, enticing investors with similar yields.

  • China Resources Mixc eyes HK$12bn listing

    China Resources Mixc eyes HK$12bn listing

    China Resources Mixc Lifestyle Services, the property management business of state-owned developer China Resources Land, has opened the book for its Hong Kong listing.

  • GC Loan Awards poll closes today!

    GC Loan Awards poll closes today!

    GlobalCapital’s poll to determine our Syndicated Loan and Leveraged Finance Awards 2020 will close today. If you haven't yet voted, we would be delighted if you would take this opportunity to pick the deals and firms that have made the most difference to loan markets in 2020. We remind you that an institution cannot win a category it hasn't voted on.

  • Hongqiao boosts top-up to HK$1.9bn

    Hongqiao boosts top-up to HK$1.9bn

    China Hongqiao Group, the world’s largest aluminium producer, raised HK$1.94bn ($249.9m) on Tuesday after increasing the size of a top-up share placement.

  • Peru to go local in 2021 after rare big year in dollars

    Peru to go local in 2021 after rare big year in dollars

    Peru plans to return to its pre-pandemic strategy of focussing raising its funding from local currency markets, said the country’s director of public treasury after the sovereign became the fourth Latin American sovereign to sell a century bond on Monday as part of a $4bn deal.

  • Belize default warnings return months after coupon postponement

    Belize default warnings return months after coupon postponement

    Central American sovereign Belize could be at risk of requiring yet another rescheduling of its bond payments, said analysts, as its debt reaches unsustainable levels and with the temporary relief that creditors granted earlier in the pandemic likely to be insufficient.

  • MREL is a paradox for small UK banks

    MREL is a paradox for small UK banks

    Little lenders are being pushed closer to collapse in the UK by rules that were supposed to make them more resilient. The Bank of England should take note.

  • Now is not the time to rush an ESG securitization framework

    Now is not the time to rush an ESG securitization framework

    An ESG framework for the European securitization market is a noble aim but the middle of this pandemic is not the time to implement it. The European Parliament needs to take its time and make sure such a regime is built to last, and not throw it in alongside emergency legislation.

  • Student loan forgiveness remains looming nightmare for market, sources say

    Student loan forgiveness remains looming nightmare for market, sources say

    Student loan forgiveness has been one of the main pillars of Joe Biden’s election campaign, worrying student loan securitization specialists in the sector since early this year. With Biden’s inauguration around the corner, market participants are scrambling to prepare for new regulations that could impact their student loan ABS investments.

  • Hungary euro covered bond issuance set for revival

    Hungary euro covered bond issuance set for revival

    After a decade of slumber, the market for euro-denominated Hungarian covered bonds could be poised to reopen. Hungary covered bonds may have a low country ceiling credit rating but the market is well protected and could offer positive yields.

  • IDA impresses with 10 year debut

    IDA impresses with 10 year debut

    The International Development Association sold its first ever 10 year dollar benchmark on Tuesday, raising an impressive $2bn, sharing the market with a couple of shorter deals from European borrowers.

  • EU completes hat-trick of SURE bonds

    EU completes hat-trick of SURE bonds

    The European Union impressed once again as it sold the third bond under its Support to Mitigate Unemployment Risks in an Emergency (SURE) funding programme on Tuesday.

  • FCA rolls out STS deal list ahead of Brexit

    FCA rolls out STS deal list ahead of Brexit

    The UK’s Financial Conduct Authority has launched a new platform dedicated to listing all securitizations which qualify as ‘simple, transparent and standardised’ (STS), preparing the UK securitization market for the end of the Brexit transition period.

  • Tepid CLO market rallies on vaccine news

    Tepid CLO market rallies on vaccine news

    A wider market rally boosted by positive vaccine news from Pfizer, Moderna and the University of Oxford has begun feeding into the European CLO market, tightening secondary spreads while primary markets remain more sluggish.

  • United Group scores deal size boost in driveby

    United Group scores deal size boost in driveby

    Balkan telecoms and cable company United Group slipped into the high yield market Monday to launch a drive-by bond as it released its earnings results, seizing on strong market conditions to repay its revolving credit facility and part-fund the purchase of Greece’s Forthnet.

  • Turkey leaps on optimism with last ditch dollar deal

    Turkey leaps on optimism with last ditch dollar deal

    Less than a week after Turkey made a long desired increase in interest rates hike, the sovereign has returned to the bond market for a last gasp bond deal before the market starts to run down for the year. The situation is giving market insiders confidence that Turkey is returning to orthodox policy making.

  • Mirabaud hires new head of Swiss equities

    Mirabaud hires new head of Swiss equities

    Mirabaud Asset Management, the investment arm of the Mirabaud Group, has hired a new head of Swiss equities to replace Paul Schibli who is retiring in 2021.

  • Rare pair go small with senior pref deals

    Rare pair go small with senior pref deals

    As benchmark issuance remains on the side-lines, smaller issuers have come out to play, with rare borrowers Cassa Centrale Raiffeisen dell’Alto Adige and Luminor Bank on the hunt for deals Lilliputian in size on Tuesday. A handful of larger issuers are keeping a close eye, and could come to the market with small deals of their own in the coming weeks.

  • UOB reprices covered bonds with largest deal and record demand

    UOB reprices covered bonds with largest deal and record demand

    United Overseas Bank revitalised the moribund Singaporean covered bond market on Tuesday with the first euro deal in two years and the largest from a Singaporean issuer. The bonds attracted record demand and were priced inside UOB’s curve, showing the extraordinarily receptive state of the market.

  • Bots prepares 2021 launch for DCM platform

    Bots prepares 2021 launch for DCM platform

    Bond Origination Technologies (Bots), a new tech company that aims to automate pricing indications in the primary debt capital markets, has completed an initial fundraising round and formed an advisory board ahead of a launch next year. GlobalCapital spoke to the founders to find out more about the product.

  • HKBN closes HK$5.5bn loan

    HKBN closes HK$5.5bn loan

    Hong Kong Broadbank Network has increased a loan to HK$5.5bn ($709m) after attracting 20 participants during syndication.

  • Alibaba CEO learns lesson in humility

    Alibaba CEO learns lesson in humility

    Alibaba’s chief executive Daniel Zhang has praised a regulatory crackdown on China’s technology titans. That was an abrupt turn from co-founder Jack Ma’s loose-lips policy to discussing China. Investors will be relieved.

  • All-in cost made century bond perfect for Peru, says DMO

    All-in cost made century bond perfect for Peru, says DMO

    Peru grabbed the bond market’s attention on Monday with a $4bn triple-tranche issue including a 100 year bond despite the country being on its third president this month. But the country’s public treasury director said it was the all-in yield, not the desire to make headlines, that drove Peru to become the fourth Latin American borrower ever to sell a century bond.

  • Record low rates to boost RMBS issuance in 2021

    Record low rates to boost RMBS issuance in 2021

    The RMBS market is expected to see more issuance in 2021, boosted by all-time lows in mortgage rates and a faster dealmaking process enabled by technology borne out of the pandemic.

  • Ares prices the tightest CLO of Covid-19 era

    Ares prices the tightest CLO of Covid-19 era

    A flurry of primary CLO deals in the BSL and middle-market opened up post-election supply in the US last week, with Ares Management achieving the tightest spread on triple-A rated paper since the pandemic and Pimco returning as issuer after a 13 year absence.

  • Books bulge as Peru set for century bond

    Books bulge as Peru set for century bond

    Peru will become the fourth Latin American borrower to issue a century bond on Monday, selling a triple-tranche dollar issue including a 100-year bond despite the fact that the the country is on its third president this month.

  • Stora Enso and Fluvius mandate for long tenor green bonds

    Stora Enso and Fluvius mandate for long tenor green bonds

    Stora Enso, the Finnish paper company, and Belgian utility Fluvius mandated banks to lead green bonds of 10 years or more on Monday, combining two recent themes in corporate bonds — ESG issuance and longer maturities.

  • Warrington targeting bond via UK MBA

    Warrington targeting bond via UK MBA

    The UK Municipal Bonds Agency is set to come to market for its third bond ever — this time, on behalf of Warrington Borough Council.

  • Renewable infra trust launches London equity raise

    Renewable infra trust launches London equity raise

    The Renewable Energy Infrastructure Group (Trig), a UK investment trust that invests in assets generating electricity from renewable sources, has launched a non-pre-emptive capital raising on the London Stock Exchange for acquisition funding. However, the size will depend on a shareholder vote in December.

  • EU’s third SURE bond approaches

    EU’s third SURE bond approaches

    The European Union’s third outing to fund its Support to Mitigate Unemployment Risks in an Emergency programme is set to hit the market on Tuesday in the shape of a 15 year tenor — matching the maturity of its loans.

  • Lufthansa rides vaccine tailwinds to follow convertible with senior deal

    Lufthansa rides vaccine tailwinds to follow convertible with senior deal

    German flag carrier Lufthansa mandated a new unsecured bond on Monday, two weeks after it stormed into the convertible market on the back of the rally sparked by positive Covid-19 vaccine trials. The airline might have lost its investment grade ratings, but it is sticking to high grade bond execution norms, prepping a Reg S-only unsecured issue from its EMTN shelf.

  • First European CLO switches to semi-annual payments

    First European CLO switches to semi-annual payments

    Penta CLO 2 has become the first CLO to switch its coupon payment form three-month Euribor to six-month Euribor, according to Fitch Ratings on Monday, following the flood of underlying loan borrowers choosing to push payments onto the longer timeline.

  • IDA lines up 10 year dollars

    IDA lines up 10 year dollars

    The International Development Association will hit the market on Tuesday for a 10 year dollar benchmark — the first since such deal Cades came in mid-October.

  • Investors queue up to get into opportunistic Carmila

    Investors queue up to get into opportunistic Carmila

    Carmila, the French shopping centre owner, rode the positive sentiment generated by another successful Covid-19 vaccine trial on Monday to launch a sub-benchmark bond. Bankers expect such opportunistic, small scale deals to dominate corporate issuance for the rest of the year.

  • MTNs join bank sub-benchmark flurry

    MTNs join bank sub-benchmark flurry

    Banks were busy issuing sub-benchmark sized deals in the euro public market last week, prompting several issuers to follow suit in the MTN market.

  • Brexit deal to send UK covered bonds tighter

    Brexit deal to send UK covered bonds tighter

    As the UK approaches the end of its Brexit transition period there are growing expectations that a trade deal will be struck with the EU. It is hoped that that will contribute to the factors driving spreads tighter on UK covered bonds.

  • UOB to issue first Singapore covered bond in two years

    UOB to issue first Singapore covered bond in two years

    United Overseas Bank has mandated leads for the first euro covered bond benchmark from a Singapore lender since September 2018. The deal takes advantage of the Monetary Authority of Singapore’s (MAS) recent decision to increase covered bond issuance capacity.

  • Barclays joins Libor phase-out fray

    Barclays joins Libor phase-out fray

    Barclays has become the latest bank to begin transitioning over the reset rates on several of its additional tier one bonds from Libor to Sonia. Unlike recent switchers Lloyds and Santander, Barclays has also opted to change over the reset rate on an outstanding dollar AT1.

  • Co-op bags last gasp MREL at 9%

    Co-op bags last gasp MREL at 9%

    The Co-operative Bank has completed the sale of a new senior bond just in time for a step-up in its minimum requirements for own funds and eligible liabilities (MREL). The UK issuer needed a chunky coupon to get its deal done, but managed to price through the trading levels on its outstanding tier two.

  • Impact investing trust launches London IPO

    Impact investing trust launches London IPO

    Schroders, the UK asset management company, has partnered with Big Society Capital to seek to list a new fund on the London Stock Exchange to invest in assets which have a positive social impact on the UK.

  • Africa shows up at last as Ivory Coast mandates for euros

    Africa shows up at last as Ivory Coast mandates for euros

    The Ivory Coast has sparked life into what has been a bleak year for sub-Saharan African bond issuance. Most sovereigns have turned to the official sector to support them throughout the coronavirus crisis as a result of being priced out of the international debt capital markets, bankers said.

  • Greencoat agrees £500m debt-funded purchase

    Greencoat agrees £500m debt-funded purchase

    Greencoat UK Wind, the renewable infrastructure fund, is buying a 38% stake in an offshore wind farm for £500m using new and existing debt. But analysts warn that the fund could push through its debt ratio limit in the coming years.

  • Cineworld offers equity sweetener for new round of emergency liquidity

    Cineworld offers equity sweetener for new round of emergency liquidity

    Cineworld has stapled warrants for 9.9% of the company to its latest tranche of emergency funding, a $450m lifeline that comes with an undisclosed but eyewatering interest rate. The new cash has unlocked a further round of covenant waivers from its revolver banks, and should give the company a chance to keep trading into a post-vaccine age.

  • Nordnet to price €1bn IPO at mids

    Nordnet to price €1bn IPO at mids

    The IPO of Nordnet, the Swedish digital bank and investment management platform, is due to be priced at Skr96, the midpoint of the initial range, when bookbuilding ends on Monday.

  • Evergrande’s bonds, stocks up on SOE tie-ups

    Evergrande’s bonds, stocks up on SOE tie-ups

    China Evergrande Group got a boost to its bond and stock prices on Monday, after its flagship subsidiary convinced a large group of equity holders not to exercise a put option. The company also secured two new state-backed investors.

  • Bolivia bonds stable despite debt relief plan

    Bolivia bonds stable despite debt relief plan

    International investors have remained sanguine about the chances of a restructuring of Bolivia’s sovereign bonds even after the finance minister said the recently elected government was seeking payment relief on some external debt.

  • Peru central bank sees 'broad' market access amid sov bond delay

    Peru central bank sees 'broad' market access amid sov bond delay

    Julio Velarde, the governor of the central bank of Peru (BCRP), insisted that the country had broad access to international financial markets as the sovereign’s bond spreads more than recovered the ground lost during recent political volatility.

  • P&M Notebook: a liking for the law

    P&M Notebook: a liking for the law

    It’s a widespread belief in capital markets that kicking up a fuss is a good way to make sure you never work in the industry again. Whatever you take out of your employer by way of a whistleblowing case or an employment tribunal had best set you up for a life away from the markets because that is supposedly where your life will be.

more leveraged/non-investment grade