Europe

Ready and willing equity investors are facing another year of frustration in Russia, with the country's IPO activity set to underwhelm until 2020.

FIG bond investors are showing signs of become more risk-averse at the beginning of August, with bank bond spreads widening amid questions about the health of the European economy.

HSBC will grandfather its discounted perpetual (disco) bonds after all. Its decision last year to declare the securities to be fully eligible as tier two capital angered some investors: it has now backtracked after the introduction of new capital rules, although they will lose eligibility at a later date.

Korea’s Financial Conduct Authority has supported the covered bond market this year with a series of new measures that aim to stimulate demand and supply. Its actions should promote local currency issuance, building on this year’s strong start.

Axel Springer's shareholders have given a green light to a public-to-private takeover offer from KKR, which values the German media company at €6.7bn.

Commerzbank has appointed its first head of syndicated and leveraged finance, a unit created within its new capital markets division.

Investors hoping for new investment grade corporate bonds this week may be disappointed, as widening spreads and falling equities make the market less tempting for issuers.

Bank of America Merrill Lynch has hired James Palmer to act as chairman of its equity capital markets business for Europe, the Middle East and Africa.

Ingredients group Tate & Lyle has priced a $200m US private placement, in order to refinance a sterling bond set to expire in November.

UK sovereign debt yields fell to their lowest level on record on Monday, despite warnings that the new government’s latest spending promises and the threat of a no deal Brexit will heap pressure on the UK’s credit metrics.

Swiss firm responsAbility Investments has closed a $175m microfinance CLO via JP Morgan, revitalising an industry which last saw issuance before the financial crisis.

The UK’s Foresight Solar Fund has signed a £245m bank financing package, as lenders to smaller companies say that they might hit record lending levels this year despite sharply pared down volumes elsewhere.