Euro

Depfa Deutsche Pfandbriefbank priced its second benchmark of the year at the tight end of guidance yesterday (Tuesday) afternoon, taking advantage of thorough groundwork to turn around its Eu2bn as quickly as possible. Depfa’s attentions will turn to potential public ACS issuance in the second half.

Portugal’s Banco BPI is set to price its debut two year covered bond after breaching the targeted Eu1bn level this (Tuesday) morning. The impact of holidays had slowed the deal’s progress and the re-offer was set at the wide end of guidance.

Depfa Deutsche Pfandbriefbank rolled back the years this (Tuesday) morning, attracting more than Eu4.5bn of orders for a new two year public sector Pfandbrief. The deal should be priced this afternoon at the tight end of guidance.

Banco BPI opened books on its first covered bond this (Monday) morning, surprising many market participants who had expected the weak tone in the credit markets and summer holidays to dampen issuance. However, even more supply could emerge, with a public sector Pfandbrief being soft-sounded.

Alpha Bank has executed the first Greek covered bond issue, and will settle the deal off its new programme tomorrow (Friday). [Updated to include deal size, maturity.]

Hungary’s FHB Mortgage Bank priced the first bond off its new Eu3bn mortgage securities and MTN programme yesterday (Tuesday) afternoon. The deal, which broke new ground in several respects for FHB, was pushed to the wide end of guidance against a backdrop of troubled global financial markets.

In brief: FHB Mortgage Bank has opened book on a new Eu100m covered bond from its Eu3bn mortgage securities and MTN programme. Price guidance of the 125bp over Euribor area was selected on the July 2011 FRN.

With more and more UK issuers encouraged to register covered bond programmes by the UK’s new legislative environment and the Bank of England’s Special Liquidity Scheme, The Cover spoke to The Co-operative Bank about its issuance plans and its thoughts on the new framework.