CEE Bonds

Istituto Centrale delle Banche Popolari Italiane (ICBPI) sold its €1.1bn PIK note on November 6 in what looked like a comeback week for the high yield bond market — but it turned out to be a short-lived pick-up.

Albania returned to the international market for its second ever bond deal this week, raising a sum larger than it needed in a result that drew approval from rival bankers

Turkish sovereign and bank bonds initially rallied 20bp-30bp on Monday on the Justice and Development (AKP) party’s election victory in Turkey, but investors should remember that this is short term relief, not a long term fix.

A spate of mandates hit CEEMEA this week, with Macedonia and Cameroon joining two Middle East banks in announcing new deals.

Turkish sovereign and bank bonds crunched tighter this week as the ruling Justice and Development Party (AKP) regained its parliamentary majority, but the rally lost its steam on Thursday as the market looked further forward to at least another four years under President Recep Tayyip Erdogan.

The Republic of Albania has released initial price thoughts on a euro denominated five year Eurobond.

The Republic of Macedonia has mandated Citi, Deutsche Bank and Erste Group to arrange a euro denominated bond.

A poor third quarter for Commerzbank’s investment banking division and the announced retirement of its chief executive has done little to spoil the bank’s overall sense of momentum, as it posted better profits than had been widely expected and revealed it would pay its first dividend in eight years.

Turkish sovereign and bank bonds have crunched tighter as the ruling Justice and Development Party (AKP) regained its parliamentary majority.

Public sector borrowers have jumped on demand for Brazilian real notes with a flurry of medium term notes — and there is more in the pipeline, said niche currency and MTN bankers.

Russian steel company TMK has launched a tender offer for its 2018s through Citi and JP Morgan.

VTB Bank intends to buy back $418.8m of dollar bonds and Sfr67m in Swiss franc bonds following the result of a tender offer that expired this week.