Euro

The scores are in. The BondMarker voters have delivered their verdict on Greece's long-awaited return to capital markets and on FMS Wertmanagement's five year dollar benchmark.

Shougang Corp Co, one of China’s largest steel producers by volume and assets, priced its maiden euro bond on Thursday, joining a slew of Chinese names exploring the European market this year.

Rating: Caa2/B-/CCC

Greece’s comeback bond this week should build on its already strong secondary performance, said SSA bankers, paving the way for the sovereign to bring more deals before its scheduled bail-out exit in August 2018. Bankers were quick to point out that while the deal resembled its last comeback trade in April 2014, much has changed since — including its cost of borrowing.

Forecasts that Europe’s corporate bond market would be all but closed for the summer this week were belied by Unilever on Monday when it launched its biggest-ever euro bond and took some of the tightest corporate pricing ever.

With no new issues pricing on Thursday, and no sign of Superstrada Pedemontana Veneta’s €1.55bn dual tranche deal, it could be left to The Housing Finance Corp (THFC) to save the investment grade corporate bond market from a three day run without any issuance.

The three new issues and one tap that priced in the investment grade corporate bond market this week were all two to three times oversubscribed, but a thinning supply pipeline and the excuse of a Fed meeting meant no deals were launched on Wednesday or Thursday. However, three issuers are looking to issue before the summer break, following meetings with investors.

After Monday’s British flavour to corporate bond issuance, German real estate company, Grand City Properties brought the only new issue in the market on Tuesday, as part of an exercise to extend the average maturity of its debt.

Chinese steel producer Shougang Corp Co is taking bids for its inaugural appearance in the euro bond market.

NRW.Bank announced on Wednesday that it will go on the road at the end of August to market its fifth green bond.

A hedge fund manager who bought some of Greece’s comeback €3bn five year bonds on Tuesday believes that the paper will trade “like a rates instrument” rather than credit, despite the bonds being marketed at an absolute yield level more akin to the high yield corporate market.

Bain Capital’s Diamond, the cleaning chemicals business, had to remove a controversial restricted payment clause before printing the triple-C rated bonds of its new financial structure on Tuesday.