Corporate Bonds - Article Archive



  • EU urged to press on with sustainable finance

    A group of nine NGOs, trade unions and other civil society groups have got together to produce an independent white paper setting out in detail how they believe the European Union’s Sustainable Finance Action Plan should progress. It calls on the EU to push ahead with the Plan, only some of whose targets have been acted on so far, and to take it further and deeper.

  • ECM aghast at Brexit delay plans but DCM encouraged

    Theresa May’s decision this week to allow Parliament to vote on extending the Brexit deadline by three months has split the UK capital markets down the middle. Bond bankers are cheered and believe UK issuance is likely to rise — but equity deal originators see it as another three months of stagnation, with IPOs all but impossible. Jon Hay, Sam Kerr, Tyler Davies and Aidan Gregory report.

  • M&S shows opportunity in idiosyncratic risk

    Seasoned credit investors are painfully familiar with shareholder-friendly actions. Leveraged buyouts, debt-financed share buybacks and special dividends can all deliver nasty surprises to bondholders.

  • People moves in brief

    Mizuho replaces global markets head after less than a year — Syndicate banker leaves ING — Hudson joins Credit Suisse executive board

  • Bilfinger seeks lender redemption in Schuldschein market

    German industrial services company Bilfinger has launched a Schuldschein months after pulling a transaction in the public bond markets. The BB-rated company is offering a spread substantially higher than a typical Schuldschein borrower, in the hope that lenders will forego its failed bond market foray and be charitable with its chequered past.

  • LeasePlan smashes through curve with debut green bond

    Dutch car leasing company LeasePlan has achieved a negative new issue premium on its first ever green bond, paving the way for the issuer to become a regular visitor to the market as it expands its electric vehicle fleet.

  • Godall in, Peerbhoy out at Mizuho

    Asif Godall has been appointed as head of global markets for EMEA at Mizuho International plc, replacing Zahra Peerbhoy. Godall joins from Cairn Capital, where he was co-chief investment officer.

  • BMW, Swisscom end the corporate drought in Swissies

    The virtual drought in international corporate issuance in the Swiss franc market belatedly came to an end on Tuesday in spectacular fashion, when BMW launched a speedily executed two-tranche issue for Sfr600m ($600m).

  • Koç Holding markets dollars

    Koç Holding, Turkey's largest holding company, has mandated three banks for a five or seven year dollar RegS/144A benchmark. An investor has said that given recent Turkey volatility, he would want to see a much larger premium over the Turkey curve for the longer of those two options.

  • Qinghai LGFV pays coupon but concerns remain

    Should bond investors be worried about Chinese local government financing vehicles (LGFVs)? After a recent default had almost no impact on the secondary or primary markets, most investors appear to have put aside their concerns. At least for now. Addison Gong reports.

  • Languang offers juicy yield for bond tap

    Sichuan Languang Development Co returned to the bond market on Wednesday with a $150m tap of an outstanding deal, bringing its 11% 2020 notes to a total size of $400m.

  • Paccar Financial bags €300m at 25bp over

    Paccar Financial has become the latest in a string of US issuers that have tapped the euro market over the past two weeks. The financing arm of the US maker of trucks and trailers has raised €300m via the sale of new 0.125% notes due in March 2022.

  • Haywood: I was unjustly singled out

    Tim Haywood, the portfolio manager dismissed from GAM for gross misconduct, says he is appealing against his former employer’s decision.

  • Almarai shakes up Middle East market with $500m blowout

    Almarai, the largest dairy company in the Middle East, sold its $500m five year sukuk on Tuesday having drawn a huge $5.3bn of demand for the deal — the first from a Saudi investment grade private corporate issuer.

  • Macro news boosts corporate conditions as Coke and Colgate print

    Macroeconomic conditions have converged to create a strong market for new investment grade corporate bond issues in Europe, with a more dovish US Federal Reserve, a potential delay to Brexit, and signs of progress in the US-China trade discussions prompting investors to turn risk-on.

  • Zhaojin Mining, Yunnan Investment price despite LGFV woes

    Chinese government-related issuers Zhaojin Mining Industry Co and Yunnan Provincial Investment Holdings Group Co priced dollar bonds after what bankers said was smooth bookbuilding, defying fears that followed a recent default by a local government financing vehicle.

  • New sustainable benchmarks regulation: read the small print

    The EU’s first piece of sustainable finance legislation sets rules for green investment indices. That is all well and good, but more promising is a hint that all the ordinary indices may have to admit how un-green they are.

  • Colgate build €7bn book on new €1bn bond

    Colgate-Palmolive, the US consumer products company, has added to the recent splurge of new reverse Yankee supply with a €1bn dual-tranche that was seven times oversubscribed.

  • Bilfinger seeks lender redemption in Schuldschein market

    German industrial services company Bilfinger has launched a Schuldschein months after pulling a transaction in public markets. The BB-rated company is offering a spread substantially higher than the typical Schuldschein borrower, in the hope that lenders will forego its failed foray and be charitable with its chequered past.

  • Almarai milks market for sukuk with books over $4.6bn

    Almarai, the largest dairy company in the Middle East, has tightened price guidance for its dollar benchmark sukuk as investors jump on the offer of exposure to a company of “critical importance to Saudi and the GCC”.

  • China property bond spree continues despite widening

    When will the supply of Chinese property bonds end? Bankers detected hints of indigestion after a rush of deals last week, but that does not appear to have slowed down the mass of supply. Five more companies turned to dollar bond investors on Monday.

  • Guorui refi risk looms despite $160m issue

    China’s Guorui Properties priced a smaller-than-expected new bond ahead of a looming $250m maturity on March 1. But investors are still wary of another one of the company’s bonds: a $300m deal that becomes puttable in the same month.

  • Coca-Cola Co returns to euros to print €3.5bn

    The Coca-Cola Company has reopened the European corporate bond market this week with a €3.5bn four-tranche offering to refinance euro-denominated debt due later this year. The company hit screens despite a difficult earnings update last week that caused the biggest daily drop in its stock in a decade.

  • Avianca eyes bond market refinancing

    Colombian airline Avianca could tap investors for a new bond issue in the coming weeks as it looks to refinance an existing bond maturing in May 2020.

  • CFLD finds fortune with huge bond demand

    China Fortune Land Development tapped the bond market with a $530m two year deal, generating a final order book that was almost 10 times covered as it attempts to draw a line under a difficult 2018.

  • Issuers spy chance for dream deals as credit marts erupt

    A potent mix of ingredients this week yielded some of the most fertile primary market conditions of the year across credit classes. Borrowers emerged from blackouts blinking into a dazzlement of demand. Now they are urged to do the deals they have long dreamed of before the market sours.

  • High yield covenants in focus as market wakes up to lease changes

    Lease accounting changes known as IFRS 16 are rolling out through capital markets, with companies keen to reassure investors that, despite the new way of presenting their balance sheets, little has changed. But that’s not true for every firm and for some high yield issuers, the change represents a big loosening in covenant terms.

  • Boston Scientific leads M&A funder plunder

    The dollar new issuance market enjoyed a hot streak this week, as a series of blue-chip names took advantage of tightening spreads to cram supply into a holiday-shortened week.

  • People moves in brief

    Soc Gen places ECM bankers on risk list — Sofr architect to retire — Ex-Bridgewater COO joins blockchain firm

  • IG corporate market enjoys stellar week as investors grab risk

    The investment grade corporate bond market in Europe has had a stellar week, with €14.25bn of new issuance. Market participants believe the uplift in volume here to stay, aided by a relative under-supply of new paper in the last few weeks and a more dovish tone from the US Federal Reserve.

  • Türk Telekom sells $500m as secondaries rally

    Türk Telekom printed a $500m six year bond on Thursday at 7%, capping an extraordinary week in the CEEMEA bond markets. The company's outstanding paper had rallied following the release of initial price guidance for the bond, such was the demand for exposure to the credit.

  • Fujian Yango makes 'very odd' change to bond terms

    China’s Fujian Yango Group Co this week set out a dramatic rise in the coupon on an outstanding bond, in a bid to avoid an investor put in April. The move left market participants confused, with one calling it ‘very odd’.

  • Singapore Power plugs in for $600m fund raise

    Singapore Power, a government owned electricity and gas distributor, grabbed investor attention on Wednesday and raised $600m from a rare trip to the international bond market.

  • LVMH, Daimler print multi-tranche jumbos

    LVMH Moët Hennessy Louis Vuitton, the French luxury goods group, achieved excellent terms on its latest €1bn dual tranche corporate bond offering on Wednesday, on a crowded day when Daimler also raised €3.2bn and Unibail-Rodamco-Westfield (URW) raised €1.25bn.

  • IG wide open, euro long-end in favour as Siemens prints 20s.

    The investment grade European corporate bond market is wide open this week, with a swathe of jumbo new issues in euros. Boosted by a relative lack of supply in recent weeks, issuers are achieving good terms, particularly on longer dated issues, with Siemens issuing the first 20 year bond of the year so far. But the sterling market is quiet as investors wait for clarity on what form the UK’s exit from the European Union in March will take.