Crédit Agricole

Santander and UBS both took to the Reg S market on Thursday to sell subordinated debt to dollar hungry European and Asian investors.

Concerns over Brazilian economic growth are apparently not strong enough to prevent issuers from the country making the most of bond investors’ desperate search for yield. First Caixa Econômica Federal and then Fibria Celulose issued tightly-priced, well oversubscribed deals at a larger than originally indicated size this week.

Low supply in April plus an expected rates cut from the European Central Bank next month should have investors gagging for sovereign, supranational and agency paper in euros at any price offered. But as borrowers demonstrated this week, successful deals will be those that offer something in terms of pricing or maturity, as buyers look to pick up yield or spread in an ultra-low rates environment, writes Tessa Wilkie.

Crédit Agricole has hired Raffaele De Vitis to replace Gary Israel, who resigned from his job in January to join Scotiabank.

London-based insurance company Aon and defunct French mortgage lender Caisse Centrale du Credit Immobilier de France (3CIF) took advantage of the recent undersupply in the FIG primary market to price senior deals this week. 3CIF tapped the short end of the maturity curve and Aon went long.

Santander is making a return to the additional tier one market for the second time in two months, getting in front of any potential surge in supply that may come from other banks, including Deutsche Bank, in the subordinated market in coming sessions.

Export-Import Bank of China (Chexim) stood out from competing supply on Wednesday when it priced a rare three tranche offshore renminbi bond. Dealers said that the recent high volumes of dim sum issuance had not affected pricing.

Demand for Latin American bonds continues to surprise the very people selling the debt as Brazilian pulp producer Fibria Celulose became the latest issuer to pounce for a tightly-priced new issue to fund a liability management.

Credit Agricole shares rose 5% to €11.67 on Wednesday, approaching last month’s three year high, as the bank reported an 85% rise in first quarter profit from the same period last year. The results benefited from a 20% cut in provision for bad loans, with the group’s Italian consumer finance subsidiary Agos Ducato improving its cost of risk by 30%.

Société Générale had a strong quarter in equities, traditionally a strength for the bank, but the success was not enough to make up for a writedown on its Russian assets and the tough environment in fixed income.

London-based insurance company Aon and defunct French mortgage lender Caisse Centrale du Credit Immobilier de France (3CIF) are taking advantage of the recent undersupply in the FIG primary market to price senior deals, with 3CIF tapping the short end of the maturity curve and Aon going long.

Export-Import Bank of China (Chexim) has opened guidance on a new multi tranche offshore renminbi bond.