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◆ Supranationals and agencies prepare to achieve the previously unthinkable ◆ Leveraged loans versus private credit and their effect on CLOs ◆ A new dawn for dollar covered bonds and UK equity market structure
Bot claims funding is ‘cheaper than peers who borrow from independent banks or credit funds’
Ferrero International markets €300m deal
Margins widen as lenders weigh up AI disruption to portfolio companies
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Europe’s private debt market is growing, as companies seek funding diversity and longer maturities than offered by bank loans. GlobalCapital estimates there was €45bn of issuance of private debt to institutional investors last year.
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The success of the Euro private placement market is clear from its internationalisation and the growth in issuance by smaller companies, said market participants at an industry gathering on Tuesday. But in the next stage of the market’s evolution, it will have to tackle the issues that come with deals of lower credit quality.—
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Private placement specialists are starting to think about convergence between the France-based Euro PP market and Germany’s Schuldschein, according to speakers at Rencontres Euro PP, an industry gathering in Paris on Tuesday.
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German wind turbine manufacturer Nordex has become the first borrower to issue an accredited green Schuldschein, leading the way for more deals to come.
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Zodiac Aerospace, the French aeroplane seat maker, has sold a seven year Euro private placement to refinance an older Euro PP and the first instalment of a Schuldschein, both issued in 2013.
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Lufthansa is in the market with a €300m Schuldschein, choosing the instrument as it offers cheaper rates than the bond market, according to a spokesperson for the German airline.