BPCE

◆ French bank built €8.6bn order book ◆ Strong performance underlines demand for 10-year covereds ◆ Covered note bank's third deal in three days

◆ Deal is heard more than 12.5 times subscribed despite slim, if any, concession ◆ Investors 'scrambling to get more risk' ◆ New trade precedes 10 year covered bond and follows $3.3bn triple-tranche Yankee

◆BPCE seizes moment in 'very volatile' market ◆ Book supports larger £400m size ◆ Fair value debated

◆ Combined order books topped €9bn ◆ Demand continued to grow after tightening ◆ Tier two priced through fair value

◆ Reception for deal marks contrast to FIG credit ◆ New issue premium debated ◆ Tenor important for pick-up over OATs

Improved market and political backdrop tempts insurers to push on with strategic debt capital financing

◆ New senior non-preferred bond comes a month after defence-labelled senior preferred ◆ Improved sentiment towards new French government ◆ Danske Bank finds 'strong' appetite for tight FRN

Foreign investors show confidence in French assets, including innovative defence financing deal, as political concerns grow

◆ Novel deal first of a kind from a non-SSA issuer ◆ Delivers 'political message' in readiness for defence financing ◆ Bankers debate whether issuer paid 'generous' concession

◆ Deal the first of its kind from a bank to be explicitly earmarked for defence financing ◆ External review similar to green bonds ◆ Five year senior preferred offering planned

Financial institutions dealmaking is at an 18 year high but banking consolidation is elusive

◆ Minimal impact from escalating Middle East conflict ◆ Investors eager to buy long end BPCE ◆ Danske lands flat to Pfandbrief