Bank of America

The Republic of Indonesia priced its debut euro-denominated bond on Thursday and was met with overwhelming demand from yield hungry investors. But bankers are now in a fierce debate about how much of a concession the borrower had to pay to secure its first euro trade — and whether it was worth it, writes Virginia Furness.

Trade & Development Bank of Mongolia (TDBM) kicked off a series of fixed income investor meetings on July 3. The borrower, which sold a dim sum bond in January, is the only Mongolian credit to have tapped the international market so far this year.

Institutional investors’ appetite for European leveraged loans may have passed its peak, after a second term loan ‘B’ in quick succession failed to attract the expected support this week, writes Ross Lancaster.

Peripheral European borrowers are set to benefit from a lack of competing supply and red hot demand this month. Conditions are strong enough this week for Portugal to launch a dollar bond in the tricky 10 year maturity, despite troubles affecting one the country’s leading banks — plus a short benchmark execution window.

DE Master Blenders, the Dutch coffee company, has shifted €1bn of its €7.5bn acquisition loan out of term loan 'B's and into an extra term loan 'A', as bank demand has proved stronger than expected, even outstripping that from institutional investors.

Chilean copper company Codelco has mandated HSBC, Deutsche Bank and Santander to arrange a 10 year euro denominated bond, its debut in the currency. Investor calls are taking place on Tuesday for the deal.

Aluminium manufacturer China Zhongwang Holdings has allocated its $500m three year facility, which saw 14 banks joining in syndication.

The $205m loan for Khopoli Investments, a subsidiary of Tata Power, has netted a chunky commitment from State Bank of India at the top level.

Amid critical times for Argentina’s status in debt capital markets, dairy company Mastellone Hermanos brought the country its fourth international issuer since 2012 with a bond that, though small, bankers on the deal claimed was a landmark.

A merger of the coffee businesses of DE Master Blenders and Mondelez International, backed by €7.5bn of debt, could take up to 12 months to complete, prompting some investors to question whether returns on financing the deal are worth the wait.

Three Latin American borrowers started roadshows with bond investors this week as bankers’ predictions that the football World Cup would lead to a slowdown in new issue activity were proven false.

Bank of America Merrill Lynch has hired Rahul Srinivasan to its leveraged finance team in London, but is keeping a lean team in the event of a market slowdown, GlobalCapital understands.