Coronavirus

Pexip, the Norwegian video conferencing company, has launched its Nkr2.14bn ($206m) IPO on the Oslo stock exchange.

Russian borrowers are still seeking funds from international lenders, with a handful of companies in the market. However, dynamics have changed amid the spread of the coronavirus and borrowers must offer higher margins to fewer lenders.

The UK’s Vitec Group, which provides camera and recording equipment, has renegotiated the covenants on its £165m revolving credit facility, in a growing trend that loans bankers expect to continue until the coronavirus pandemic eases.

Greece is looking to divert the use of proceeds of its borrowing to help it tackle the coronavirus crisis, but that is not likely to result in an increase to its funding programme.

The prospect of switching out of Pfandbriefe exposed to a high proportion of foreign commercial real estate and into higher-yielding, and more liquid, Scandinavian covered bonds exposed to domestic loan portfolios that are less affected by the coronavirus, is a tempting choice. But the protection Pfandbriefe offer investors and the scarce supply outlook means spreads on the product will remain supported, said bankers on Monday.

France is looking at conducting a large syndication this month as it looks to finance a much bigger funding programme, according to SSA debt capital markets bankers.

The Danish Financial Services Authority is softening its application of the minimum requirements for own funds and eligible liabilities (MREL) amid Covid-19, meaning the country’s largest banks could end up issuing half as much senior debt this year as might have been expected.

GVS, the Italian manufacturer of filters and components for among other groups, healthcare companies, is on track to list in Milan this summer, according to sources close to the deal. The company is likely to be the first major listing on the Italian exchange this year after Covid-19 froze the market.

GlaxoSmithKline, the UK pharmaceutical company, launched a three tranche bond issue on Monday. Its sterling curve was trading so flat that it started with the same spread on the long eight and 15 year tranches.

QBE sold $500m of additional tier one debt in the dollar market this week, as it sought to shield itself from the financial impact of the coronavirus pandemic.

The Asian dollar bond market is set for a quiet week for issuance because of public holidays across a number of countries and as investors continue to battle volatility induced by Covid-19 and renewed US-China trade tensions.

Luxshare Precision, a Chinese designer of cable assemblies, has launched a $500m loan into syndication, hiking up the margin on offer due to changing market conditions caused by Covid-19.