Bank of America

Financials dominated the US investment grade issuance calendar this week as investors refused to be put off by geopolitical risks.

Tata Steel announced a 5.5 year and 10 year dollar denominated dual trancher on Wednesday afternoon. The borrower is the second from the Indian high yield arena to open books for a debut dollar deal today, joining renewable energy company Greenko.

The idea of the US leveraged finance market being regulated – even down to the debt multiples on deals – may seem far-fetched. But it is becoming a reality. Tangible evidence is beginning to emerge of US banks turning down deals because they do not want to fall foul of regulators that frown on over-leveraged or risky financings.

A total of 12 banks have signed the mandate letter this week for Tata Steel’s multi-currency jumbo fundraising of around $5.62bn.

Admiral Group made its debut in the bond markets on Friday as it priced a £200m 10 year tier two deal in a move to introduce leverage into the insurance firm’s capital structure and move toward Solvency II compliance.

David Azéma, chief executive of the Agence des Participations de l’Etat, the French state holding company, will join BAML as chairman of the global infrastructure group and vice chairman of global corporate and investment banking EMEA.

Tata Steel is kicking off investor meetings for what could be an inaugural dollar and euro denominated deal this week. In addition to being the latest in a string of Indian borrowers to explore the euro market this year, the company joins a club of high yield issuers from India that are surfacing in dollars.

The Ministry of Strategy & Finance of the Republic of Korea has yet again sold a chunk of its shares in Industrial Bank of Korea (IBK). The strong investor demand allowing the government to increase the size of its sale by a whopping 46% to W364.2bn ($353m).

CCB Asia priced a $200m tap of its 3.25% 2019s on Wednesday. The borrower landed the tightest spread for a five year dollar issue by a Chinese bank this year as appetite for China brought in an eight times subscribed order book.

Israeli energy conglomerate Delek Group has set price guidance on a €655m loan to back the sale to TDR Capital of its petrol station and convenience store operations in Benelux and France.

A tinge of risk-aversion crept into the US corporate bond market on Thursday, as investors digested the US government’s decision to broaden its sanctions on Russia over the situation in Ukraine.

David Ross, co-head of European leveraged capital markets at Bank of America Merrill Lynch, has left the firm, GlobalCapital has learned, while three more junior leveraged finance bankers also quit earlier this month.