Corporate Bonds - Article Archive

  • Adani raises first US PP from India for a decade

    Adani Transmission has priced a $310m US private placement, becoming the first Indian company to raise money in that market since 2007. Although some investors still feel scarred by an Indian incident a decade ago, many see this as the dawn of an Indian PP revival.

  • Virus fears keep Asian bonds at bay

    Asian debt bankers had expected a peaceful week amid the Chinese New Year holidays, but rising concerns about the spread of the coronavirus this week led to a rush of emergency calls. Several borrowers have decided to skip or delay planned roadshow meetings in Hong Kong.

  • Together boosts refi size on sterling supply rarity

    Together Money has refinanced its 2021 high yield bond with a new issue, taking advantage of strong conditions and a dearth of sterling supply to take more cash off the table and pay down its revolver too.

  • UK's Lancashire lining up for MBA debut

    The first bond from the UK’s five year old Municipal Bonds Agency will be launched in the next week or two and, thanks to some tweaking of the agency's operating practices, more are set to follow, writes Lewis McLellan.

  • Barclays eyes victory in Europe’s global IB race

    Jes Staley’s strategy has been vindicated, with Barclays’s corporate finance bankers having a banner year. But it has to invest in its European franchise to cement its credentials as the region’s leading investment bank, says David Rothnie.

  • Britvic sates investor appetite for food and drink

    UK soft drinks company Britvic has entered the US private placement (USPP) market via Rabobank and Santander, on the hunt for sterling debt. As the issuer is a regular and well-loved borrower among institutional investors, the transaction has been described by one banker as “as easy as they come.”

  • Tikehau boosts liquid strategies with US high yield hires

    Tikehau Capital has taken over a US high yield fund formerly managed by Semper Capital Management, bringing over the portfolio managers that run it as well. It is part of the firm’s plan to rebalance its business and boost its liquid strategies offering.

  • SSD players prepare for restructuring talks

    The Loan Market Association is set to restart its Schuldschein working group in February, with a workstream addressing credit restructuring. This is an early sign that the market’s heavyweights are taking this issue — which has damaged the Schuldschein’s reputation in some quarters — seriously.

  • Saint-Gobain eschews debt for Continental Building buy

    France's Saint-Gobain has met the shareholder and regulatory needs for its around €1.3bn purchase of US plasterboard company Continental Building Products, as the acquisitive construction materials company gets the thumbs up from ratings agencies for swerving the debt markets to fund the deal.

  • Rare sterling supply as Together preps HY refi

    Together Money is preparing to refinance its 2021 high yield bond with a new £385m senior secured issue, the first sterling deal of the year. The storming performance of the euro and dollar markets have meant that, despite the increased post-election appetite for the UK currency, it simply cannot compete on pricing for many issuers.

  • Stolt-Nielsen and Eidsiva line up Nokkie bonds

    The Norwegian krone bond market is about to get a spurt of corporate deals. Liquid chemical storage company Stolt-Nielsen and energy group Eidsiva Energi have mandated banks to lead bond issues in their domestic currency.

  • Wobble over, markets motor

    Leveraged credit markets are powering ahead with a jam-packed issuance calendar, despite a wobble on Monday when credit indices widened a little on fears about the coronavirus epidemic. On Tuesday spreads firmed up again, though, and bankers bringing new issues have barely broken a sweat all week.

  • National Grid charges in with green MTN pair

    The UK's National Grid followed up early January’s well-received green bond debut with a pair of green bond MTNs from a subsidiary, printing in currencies it rarely visits.

  • ICG hits seven year part of the curve

    Intermediate Capital Group, the UK alternative asset manager rated BBB by Fitch, is in the market for a seven year euro bond on Tuesday, according to two bankers away from the deal.

  • Essity's sub-benchmark bond gets plenty of traction

    Essity, the hygiene and health products company spun off by Sweden's SCA in 2017, slipped into the bond market with a €300m no-grow 10 year issue on Tuesday. The issuer was estimated to have paid a low single digit new issue premium.

  • Telefonica's double does double in virus fearing market

    Telefonica, the Spanish telecommunications company, issued senior and hybrid bonds in euros on Monday. While it picked a horrendous day for markets for its offer, Telefonica still managed to pay small or negative price concessions relative to its secondary curve.

  • Digi completes refi bond, riding on growth in Romanian telco market

    Romanian telecoms giant Digi issued an €800m bond this week, offering investors exposure to risky but fast-growing eastern European economies. Digi is joining the long list of companies taking advantage of exceptionally favourable refinancing conditions in European high yield.

  • Thailand’s Indorama Ventures looks to launch Schuldscheine

    Indorama Ventures, a petrochemicals company headquartered in Bangkok, has mandated banks to raise Schuldscheine via a European subsidiary, according to several people familiar with the situation. The deal is a further sign of the instrument’s growing popularity in East Asia.

  • Aeromexico to fly in with bond debut

    Mexico’s largest airline Aeromexico will begin meeting fixed income investors on Monday as it plots what would be its first ever international bond issue.

  • GBP considers guidance on Enel-style bonds

    The Green Bond Principles organisation has gone public with its plans to set up a working group on sustainability-linked bonds. It will be charged with working out whether the GBP should issue guidance on the new structure — a move that would ensure the GBP remains relevant as the sustainable finance market changes.

  • US corps mobbed as supply drought bites

    US blue chips started to emerge from earnings blackouts this week and print tightly priced dollar bonds, as spreads continued to grind tighter.

  • Credit Suisse rejigs IBCM after ‘tough year’

    Credit Suisse has streamlined its investment banking and capital markets operation (IBCM) and is confident that it will return to form after a chastening 2019, writes David Rothnie.

  • Deutsche Telekom returns to Swissies with rare 12yr MTN

    A pair of investment grade issuers made rare appearances in niche currency bond markets this week. Deutsche Telekom returned to the Swiss franc market after a 10 year absence, while Hitachi Capital UK made its debut in rand.

  • Vivacom takeover package prints through tights but PIK lags

    Southeast European telecoms group United Group, a BC Partners and KKR portfolio company, is marketing an all-bond financing package for its takeover of Bulgaria’s Vivacom, marketing new senior secured bonds and an add-on to its existing 2025 PIK notes.

  • Altice fan club shows up for sub debt switch

    Altice France jumped into one of the busiest weeks on record for European leveraged loans and high yield issuance, issuing €2.1bn of bonds and simplying the group’s capital structure. Despite the complexities of the exchange, eager buyers showed up for the bond, taking down Caa1/CCC+ debt at just 4%.

  • Sovereign debt at greater risk of being ‘stranded’

    The risk that huge amounts of oil and gas assets will be stranded by moves to tackle the climate emergency may be more pertinent for sovereign credit than for private sector corporate debt, according to new research.

  • Bonds back on top as Techem changes tack

    High yield bonds are back on top as the capital markets funding tool of choice for leveraged companies. This week, Techem tweaked its loan repricing to add a heavy bond slug and take advantage of near-record low coupons on offer. That sets 2020 up with a very different tone from the past two years, when an ever-growing CLO market meant bonds struggled to compete with loans, writes Owen Sanderson.

  • SBB’s €500m hybrid offers yield-starved investors respite

    Samhällsbyggnadsbolaget i Norden (SBB), the Swedish social infrastructure and residential property investment company, launched a hybrid capital bond on Thursday, offering investors the chance to pick up junk rated paper from an investment grade issuer.

  • Asian green bonds build on 2019 momentum

    Green bond volumes reached a record level in 2019 and market participants think the sector is poised for another blow-out year. Korea South-East Power Co (Kosep) and ReNew Power Private gave a further boost to Asia’s growing green bond market this week, selling $750m of notes between them. Morgan Davis reports.

  • Evergrande floods market with $6bn of bonds

    Hengda Real Estate Group Co, a subsidiary of China Evergrande Group, raised $4bn across two tranches on Tuesday, just days after Evergrande nabbed $2bn from another bond sale.

  • Defaulted issuers return: CSRC queries Founder Securities, snubs Haikou Meilan

    The China Securities Regulatory Commission (CSRC) has asked questions about Founder Securities’ application to sell an onshore bond, but put a pause on approving a planned issuance by Haikou Meilan International Airport Co. Both Founder’s parent company and Meilan have missed bond payments in 2019.

  • USPP market eyes Europe’s ESG model

    Several US private placement agents have told GlobalCapital that their market is finally starting to take sustainable financing seriously. But while there is an evident buzz, most feel that anything tangible, such as pricing advantages prompted by dedicated environmental, social and governance-focused funds, is still far off.

  • SBB lines up hybrid capital in eager market

    Samhällsbyggnadsbolaget i Norden (SBB), the Swedish social infastructure and residential property investment company, has mandated banks to lead a €500m no-grow perpetual non-call 5.25 year hybrid capital bond issue. Bankers off the trade expect it to fly.

  • Thales gets €500m with zero NIP

    Thales, the French defence company, sold a €500m bond on Wednesday that appears to have been priced with no new issue premium, or even at a fraction inside its curve, in a corporate bond market heavily weighted in borrowers’ favour.