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AT&T’s 19 year bond found buyers this week, but rate uncertainty and a flatter euro curve have dampened investor demand for duration
August forecast to be a strong month for corporate dollar supply
Stable backdrop, steady rates and strong demand give issuers reasons to move before the post-summer rush, bankers said
◆ Telco takes size in euros and duration in sterling ◆ Elevated premiums paid at the long end ◆ Sterling tranche AT&T's first since 2018
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China Minmetals Corporation has opened guidance on a new dim sum bond and joins China Metallurgical and Sinopec in the market in what looks a bumper day for Chinese SOE issuance.
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AVIC has announced guidance on a three year dim sum bond, after wrapping up investor meetings on Thursday.
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China Overseas Land and Investment (COLI)’s dual tranche tap went ahead as planned on Wednesday but reverse enquiry meant that the borrower added a new 20 year bond mid-way through the process. The new bond also doubled the size of the issue to $1bn.
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Baidu priced its third issue in the dollar market on Wednesday, a $1bn five year bond. The Chinese search engine operator again targeted US investors with the SEC registered notes — and the strategy paid off.
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Chinese state owned logistics company Sinotrans priced its second offshore renminbi bond on Tuesday with a Rmb1bn ($162m) three year issue. However, oversupply from China in the dim sum market and investor unfamiliarity meant the deal was met with a fairly quiet reception.
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Chinese search engine operator Baidu returned to the dollar market on Wednesday with an SEC registered five year bond.