Corporate Bonds - Article Archive

  • ESG: the filter that lets everything through

    Deliveroo and its shareholders raised £1.5bn this week. The IPO was a dog, priced at the bottom of its range and falling 20% on its debut. But it’s hard to feel sympathy for the investors.

    31 Mar 2021

  • Alternative credit is here for the yield

    Institutional private credit is emerging as a competitive substitute for bank lending in Europe, but companies need to remember that alternative lenders define what they are looking for more narrowly than banks.

    31 Mar 2021

  • Gatwick Airport boosts size of sub debt debut

    Gatwick Airport brought its debut subordinated bond to market this week, a high yield issue raised from its holding company that found investor demand for more than three times the deal size, and that was priced at the tight end of talk.

    31 Mar 2021

  • Comet caters to high net worth investors

    Swiss technology firm Comet served up a niche sub-investment grade bond to high net worth investors this week, issuing a 1.3% Sfr60m ($64m) five year.

    31 Mar 2021

  • Casino refi tightens pricing as investors shrug off Rallye overhang

    Leads tightened pricing and increased the size of an opportunistic maturity-pushing loan and bond refinancing for French supermarket Casino this week, with investors keen to buy the company’s turnaround story and look past the troubles of its holding company, Rallye, which needs a slug of cash to pay bondholders in 2023.

    31 Mar 2021

  • VGP keeps real estate debt splurge going

    VGP, the Belgian logistics real estate company, has made its debut in the bond markets with green trade that found chunky demand. The deal was the second debut benchmark from a European real estate credit in as many days.

    31 Mar 2021

  • VP heads back to KKR’s credit biz

    Vaibhav Piplapure, widely known as VP, has signed on for a second stint in KKR’s credit business, returning to the firm as a London-based managing director sourcing asset-based finance and speciality lending opportunities.

    31 Mar 2021

  • Jardine Matheson raises $1.2bn from debut bond

    Hong Kong conglomerate Jardine Matheson Holdings made its entrance to the dollar market with a dual tranche transaction on Tuesday, part of the group's efforts to delist one of its units.

    31 Mar 2021

  • Jinmao builds $600m bond trade

    Property company China Jinmao Holdings Group sold its second dollar bond of 2021 on Tuesday, raising $600m from a five year note.

    31 Mar 2021

  • China moves to reform onshore ratings industry

    Five Chinese regulators have drafted new guidelines for domestic credit rating agencies, attempting to reform an industry that has faced renewed criticism in recent months. Addison Gong reports.

    31 Mar 2021

  • MetLife’s EFL result shows bilateral funding potential

    The fact that a large US insurance company could offer the English Football League better lending terms than UK banks or other investors is revealing. UK lenders are shying away from deals, which has opened the doors to institutional investors. The speed with which a tailor-made EFL deal was done shows how quickly they can replace traditional creditors.

    30 Mar 2021

  • Heathrow lands bonds before rival Gatwick

    London’s Heathrow Airport flew into the investment grade bond markets again on Tuesday, while its rival Gatwick Airport was marketing a high yield issue.

    30 Mar 2021

  • Canary Wharf green bond overcomes office fears

    Canary Wharf made its debut in the bond markets in its present form on Tuesday, with a green triple tranche bond in euros and sterling that found plenty of demand, despite the rocky future for office space.

    30 Mar 2021

  • MetLife beats banks to EFL deal

    US institutional investor MetLife has offered a more attractive loan package to the English Football League — England's second, third and fourth professional football divisions — than the UK government and bank lenders.

    30 Mar 2021

  • KNOC bond clashed with banks’ own climate policies, NGO charges

    An environmental activist institute has argued that the bookrunners of a Korea National Oil Corp $700m bond priced on Tuesday are being inconsistent with their own climate policies, and might even be taking legal risks, because of the issuer's exposure to tar sands oil production in Canada.

    30 Mar 2021

  • PMM: SSA subscription levels rise compared to 2020

    As the first quarter draws to a close, Primary Market Monitor investigates how issuance conditions have changed for SSA and corporate borrowers since the coronavirus pandemic first struck, with notably more demand for high grade paper.

    30 Mar 2021

  • Casino refi tightens pricing as investors shrug off Rallye overhang

    Leads have tightened pricing and increased the size of Casino’s maturity-pushing loan and bond refi, with investors keen to buy the company’s turnaround story and looking past the troubles of holding company Rallye, which needs to find a big slug of cash to pay bondholders in 2023.

    30 Mar 2021

  • KNOC fires up first dollar bond of 2021

    Korea National Oil Corp’s (KNOC) quasi-sovereign credentials helped drive demand for its $700m bond on Monday, its first international debt transaction of the year.

    30 Mar 2021

  • Infineon signs largest European US PP in years

    German semi-conductor business Infineon, which is Europe’s largest chip maker, has sold $1.3bn of US private placements, according to several market sources, in the largest trade from Europe in almost five years.

    29 Mar 2021

  • ESG bonds outperform as funds pile in

    The dollar has almost caught up with the euro as a currency for green bond issuance, helped by a surge of deals from US issuers, according to analysis by the Institute of International Finance. Investors are also piling into the market like never before, driving outperformance during the recent bond market sell-off.

    29 Mar 2021

  • GlobalCapital Bond Awards 2021: the poll is open

    GlobalCapital today launches the poll to determine our Bond Awards 2021, to commend the outstanding achievements in an exceptionally busy time for capital markets, and we invite you to vote.

    29 Mar 2021

  • Gatwick offers holdco bond to shore up opco funds

    Gatwick Airport is marketing a holding company bond, raising funds to be used for general corporate purposes in the operating company. Unlike Heathrow, Gatwick had yet to access subordinated funding from outside its opco, instead relying on class A secured debt from within its ring-fenced Gatwick Funding vehicle.

    29 Mar 2021

  • Mengniu, Hengan go short with latest Pandas

    Two red chip issuers, China Mengniu Dairy Co and Hengan International Group Co, sold renminbi-denominated Panda bonds in China’s interbank market at the end of last week. Both the firms opted for short tenors.

    29 Mar 2021

  • Car parks $250m bond ahead of privatisation

    Hong Kong-listed Car Inc raised $250m from a bond last Friday, riding on the positive sentiment of an ongoing take-private deal and better access to funding.

    29 Mar 2021

  • Huge investor group adopts Net Zero goal

    The financial markets’ stance on climate change has taken a stride forward as 43 asset managers with $23tr of assets including some of the biggest such as BlackRock and Vanguard have joined the Net Zero Asset Managers’ Initiative. A critical mass of investors is now committed to reducing carbon emissions in their portfolios to zero, meaning that companies can be in no doubt which way they have to go if they want to maximise their potential investor base.

    29 Mar 2021

  • PowerChina grabs $500m from perp return

    Power Construction Corp of China priced its $500m bond 20bp inside of fair value this week, taking advantage of the rarity value of perpetual notes from the country’s state-owned companies.

    26 Mar 2021

  • Shriram steers $225m tap through volatility

    Shriram Transport Finance Co caught an opportune time to print a $225m tap of a bond on Thursday, with the response to its deal reflecting investor preference for strong Indian credits.

    26 Mar 2021

  • Political deals tarnish Taxonomy’s claim to science-based objectivity

    The polite world of sustainable finance has collided with the ugly reality of politics in the past week, as open strife has broken out over the European Union’s sustainable finance legislation, especially the Taxonomy. Conservative and progressive elements are battling over a host of issues, above all whether gas power should ever be classed as sustainable, and the validity and even legality of the Taxonomy is being called into question.

    25 Mar 2021

  • Verbund takes green SLB combo mainstream

    Verbund, the Austrian electricity company, became the first European issuer to sell a green sustainability-linked bond on Wednesday, combining the benefits of two different approaches to sustainable finance in a single deal.

    25 Mar 2021

  • Green SLBs: game changer

    Austrian utility company Verbund this week did something no European issuer has ever done when it sold a single bond that had its use of proceeds tied to green and sustainability-linked metrics. This is an excellent development for the ESG market, and finally covers glaring weak spots in the effectiveness of green bonds.

    25 Mar 2021

  • High grade corporates pile in before Q2 starts

    Europe’s high grade corporate bond market was busy this week, as slightly improved market conditions prompted a diverse set of issuers to lock in funding before the end of the quarter.

    25 Mar 2021

  • SSD gears up for market-wide restructuring test

    Schuldschein investors are preparing for a debt restructuring cycle, with "more than a handful" of borrowers said by lenders to be in difficulty. As Germany changed its restructuring laws at the start of the year, some are confident the market can weather the storm.

    25 Mar 2021

  • Fraport pays up for bond in unrated flurry

    Europe’s corporate bond investors got stuck into unrated debt on Thursday, as German airport operator Fraport and French care home company Orpea printed bonds.

    25 Mar 2021

  • Two for Taxonomy as E.On prints green

    E.On, the German electricity company, became the second corporate issuer in as many days to issue green bonds in line with the draft EU Taxonomy. It matched Verbund by printing them flat to fair value.

    25 Mar 2021

  • No blockage ahead for Hapag-Lloyd's SLB debut

    Shipping company Hapag-Lloyd on Thursday priced the second sustainability-linked bond to hit the euro high yield market, with the new issue’s coupon tied to cuts to the carbon intensity of its fleet. Proceeds refinance an old bond, but the firm will carry on its longstanding programme of replacing older, dirtier ships over the lifetime of the new issue.

    25 Mar 2021

  • Novelis issues green HY debut

    Aluminium company Novelis, a subsidiary of Indian conglomerate Aditya Birla, has issued its debut green bond, a €500m eight year non-call three to refinance part of its term loans signed in 2017.

    25 Mar 2021

  • Avic Leasing lands $500m bond

    Avic International Leasing Co landed a $500m bond well inside of fair value on Wednesday, thanks to strong support from its syndicate banks.

    25 Mar 2021

  • Downgrades, liquidity concerns plague China’s high yield property bonds

    Slowing dollar bond supply from Chinese property companies got a further blow this week after Yuzhou Group Holdings was hit with a downgrade, triggering a slump in the secondary market. With more disruptions expected, and as liquidity pressure on real estate firms rises, a repricing of the sector may be on the cards. Morgan Davis reports.

    25 Mar 2021

  • Debt-laden Douglas leans towards bonds for recovery refi

    Douglas, the highly levered beauty retailer, is finding the bond market more receptive than loans to its turnaround refinancing. It has restructured its debt package to switch €330m of secured loans to bonds. The comeback deal appears still on track, though the PIK notes are being marketed at a punchy 9% yield.

    24 Mar 2021