Euro

Dexia Municipal Agency yesterday (Monday) priced a Eu1.5bn 12 year obligations foncières issue at the tight end of guidance, marking a successful return to the benchmark covered bond market after the group’s rescue last September.

ING sized the first 10 year covered bond since the market burst back into life last week at Eu1.25bn this (Tuesday) morning. The deal is also the first new benchmark under the Netherlands’ covered bond legislation.

Eurohypo is today (Monday) pulling off a “blow-out” deal, according to a syndicate official away from the leads.

Dexia Municipal Agency has opened books on a 12 year obligations foncières issue, its first jumbo covered bond since it had to be rescued by the Belgian, French and Luxembourg governments in September.

Amid competing supply from two other covered bond issuers, ING has this (Monday) morning built a book exceeding Eu1bn for its first new jumbo in a year, with guidance yet to be fixed.

La Caixa yesterday (Thursday) rounded off with a flourish the busiest week in the covered bond market since May 2008, pricing a Eu1.25bn five year cédulas hipotecarias flat to Santander, even though market participants had said that such pricing was aggressive. Meanwhile, a French issuer tapped the market much tighter than two weeks ago and a Dutch name is said to be preparing to go out on the road.

BNP Paribas yesterday (Wednesday) afternoon priced the first jumbo covered bond of the year in the three year maturity, a part of the curve where government-guaranteed issuance has so far dominated the market.

The books on a five year cédulas hipotecarias for La Caixa are due to close at 1430 CET today (Thursday), with pricing fixed at flat to the level at which Santander reopened the Spanish market on Monday.

Westfälische Landschaft Bodenkreditbank yesterday (Wednesday) seized on a favourable issuance window to make one of its rare appearances on the jumbo covered bond market. The issuer was rewarded with what appears to be the biggest order book for a Pfandbrief benchmark so far this year in spite of punchy pricing.

Compagnie de Financement Foncier yesterday (Tuesday) achieved broad support for its first jumbo since February 2008, a Eu1.25bn 12 year issue that was the longest dated covered bond benchmark since June 2008. The issuer told The Cover that it was keen to take advantage of the window created by the European Central Bank announcement on Thursday.

Despite considering a new issue, La Caixa looks unlikely to follow-up on Monday’s reopening of the Spanish market by Santander, but a French issuer is instead said to be due to launch a benchmark deal today (Wednesday).

Westfälische Landschaft Bodenkreditbank is due to price the first jumbo Pfandbrief since mid-March today (Wednesday) at a level much tighter than the last benchmark public sector Pfandbrief. But bankers and investors warned that other issuers are unlikely to be able to repeat this feat.