Europe

JP Morgan is growing its team dedicated to private equity capital markets transactions, as banks increasingly look to the space to make up for declining IPO volumes.

Muenchener Hypothekenbank (MuHyp) was set to issue a $600m three year Reg S dollar Pfandbrief on Tuesday, at close to the tightest levels seen this year and with exceptionally strong demand. The stellar outcome encouraged Lloyds Bank to announce a follow-on deal of its own.

Banca Monte dei Paschi di Siena, the ailing Italian bank, was offering a double digit yield in return for investment in a new €300m tier two on Tuesday, as it looked to chip away at its €700m shortfall in the asset class.

Banco di Desio e della Brianza took advantage of a recent 100bp rally in Italian government bonds to issue an Obbligazioni Bancarie Garantite (OBG) on Tuesday with a negative new issue premium.

Eurochem, a fertiliser company registered in Switzerland, hit screens last week for a pair of rouble-denominated bonds, raising a combined Rb20bn at a level inside its curve.

Investors in London have been considering the opportunity to invest in Uzbekistan this week, through a new closed-end fund, Oltin, the first internationally listed security giving investors exposure to the Central Asian republic.

The UK's Pension Insurance Corp has bought a £40m bond privately issued by Eildon Housing Association, a Scottish social housing provider.

Royal Bank of Canada and Credit Suisse turned to the euro market this week to launch bail-inable senior bonds, testing market conditions amid European earnings blackouts and before an expected break for the summer.

German power company Badenova closed a four tranche Schuldschein transaction last week.

Hazem Shawki is set to join Credit Suisse from Goldman Sachs in order to lead its investment banking operations in the Middle East, Turkey and Africa, with a particular focus on pushing further into the Saudi Arabian market.

Mitsubishi UFJ Financial Group (MUFG) sold new five and 10 year senior bonds in euros this week, with only 9bp of difference between the final pricing on the two tranches.

Acciona, the Spanish infrastructure and renewable energy company, appealed to investors with its green, triple tranche Schuldschein offering, which closed last week at €155m.