Euro

Alliance Data Systems Corporation (ADSC) raised €400m from a high yield bond on Thursday, taking euro issuance from US companies to 20% of all European sales in the asset class so far this year.

Sentiment among fixed income investors turned cautious this week amid expectations of a US interest rate hike and the recent robust supply in the primary Asia ex-Japan market. But market participants are taking heart from the stability in secondary, and believe that the region’s fundamentals and technicals will help overcome challenges. Addison Gong reports.

Export-Import Bank of China managed to achieve the lowest spread for a euro bond from a Chinese name this year with its three year in the currency, part of a $3bn-equivalent Reg S deal.

Export-Import Bank of China made a strong comeback to the Asia debt market on Tuesday with a $3bn equivalent three tranche dual-currency Reg S deal. Its three year euro bond achieved the lowest spread in the currency from a Chinese name this year.

Multilateral development banks will focus more on providing credit enhancement and support to help small, emerging market borrowers bring their green bonds to market, according to the head of climate change at the European Investment Bank. Meanwhile, a French region visited the green market on Tuesday.

The European Stability Mechanism returned to stellar form this week, hitting the sweet spot for euro demand and exceeding its first quarter funding target. Bpifrance Financement will look to follow up the supranational’s success on Wednesday.

Italy drew a more than a twice oversubscribed book on Tuesday and priced well inside guidance as it brought its second syndication of the year, a €3bn May 2028 inflation-linked BTP.

Indian film maker and distributor Eros International has launched its maiden dollar bond with books building quickly during the Asia morning, as it competes with Export-Import Bank of China.

Italy has mandated banks for its second syndication of the year, after a month in which its spread to closest peer Spain has tightened.

The European Stability Mechanism has nipped in ahead of a European Central Bank Governing Council meeting later this week to mandate banks for a 10 year euro benchmark. Other euro supply this week could come from Région Île-de-France, which held a global investor call on Monday for a green and sustainability bond.

India’s Power Finance Corp has reached out to overseas lenders for a $100m-equivalent borrowing in euros. Its request for 10 year money follows an attempt at a fundraising in 2016 that was scrapped because of mandatory hedging requirements.

China Huiyuan Juice Group is tapping the offshore market for a €150m three year amortising term loan, about a year-and-a-half after making its international debut in the currency with a bond.