Citi

One of the most anticipated ECM deals of the year fell victim to weakening sentiment across the market on Wednesday night, as much of Bankia’s sale of all of its Iberdrola shares was left with the deal’s bookrunners.

China Citic Bank International kicked off Asia’s first US dollar Basel III-compliant tier one issue on Thursday. While a discretionary write-down trigger makes the notes more investor friendly than tier ones from other jurisdictions, some investors are cautious about macro risks affecting the credit. Others expected a larger spread, writes Isabella Zhong.

Turkiye Finans has taken advantage of Turkey’s post-election rally to hit the road on with a Reg S dollar sukuk, which is only the second non-sovereign Turkish bond to surface this year.

Pakistan returned to the bond market on Tuesday night with a $2bn dual trancher that attracted US investors, as the frontier economy ended a seven year exile from capital markets. The reception from Asian accounts was a little cooler, however.

The Democratic Socialist Republic of Sri Lanka on Monday priced its second international bond of the year and closed with the order book nine times oversubscribed. With Sri Lankan risk in hot demand, a well-timed move by the issuer enabled it to price inside its existing curve.

After a wave of high profile sovereign issues from Sri Lanka and Pakistan, a number of emerging market corporates look set to enter the market. Investor appetite for diversification is strong and global confidence in emerging markets is returning.

Perusahaan Gas Negara is due to mandate a group of five banks to arrange a $1.5bn five year fundraising, returning to the loan market after an absence of more than four years. The company is considering to fund the loan onshore because it has yet to get approval for an offshore deal.

Demand for bank private placements has surged in recent weeks despite borrowers maintaining aggressive levels, according to medium term note dealers. The banks are expected to sell a spate of deals next week as they hope to take advantage of the demand before the Easter holidays.

Turkish Garanti Bank has released price guidance equating to a 35bp new issue premium for its new dollar benchmark 2019s, according to an origination official on the deal. Bank of America Merrill Lynch, BBVA, Citi and HSBC are arranging the sale.

Zambia's warm welcome from the bond market this week means that the sovereign's mooted $600m loan has been cancelled.

PSA Peugeot Citroën has signed a €3bn dual tranche loan to refinance early a loan maturing in 2015.

Brazilian company Votorantim Cimentos has picked banks for a euro transaction and begins investor meetings across Europe on Thursday.