Euro

Upper mid-market firms eschew ‘exciting’ stories as cracks emerge in European private credit

Favourable market conditions have made raising debt like 'fishing with dynamite' for bank issuers. But concerns are mounting about volatility ahead

After the frenzy of the primary market in January, there is still optimism that SSAs can draw big demand

◆ Deal is the tightest ever Greek AT1 ◆ Book peaked more than €5.5bn ◆ Market 'just ridiculous', says lead manager

◆ Second ever bond for the issuer ◆ Deal marketed to both SSA and credit investors ◆ Offers potential for tightening on the back of southern European convergence trade

Eight banks provided loan facility to company

◆ Issuer's first benchmark after after active start of year in PPs ◆ Deal attracts big book despite large tightening ◆ Only KfW priced with lower spread to USTs this year

International interest for German paper has grown

ESM priced new €2.5bn 10 year at flat to EIB

◆ Issuer returns after Swiss franc debut on Monday ◆ Spread tightened 40bp–45bp from IPTs ◆ New issue premium debated

◆ 'Strong demand' supported tight execution, DCM banker said ◆ Landeskbank sought to expand international participation ◆ Concession debated

◆ Dutch lender's latest €2.5bn senior holdco follows Aussie domestic senior foray ◆ Comes a day after $1.5bn AT1 and before green RMBS ◆ Demand for senior unsecured assets is strong as ING clears big funding with limited, if any, new issue concession