Europe

Erste Group was nearly 10 times subscribed for a €500m five year senior bond on Tuesday, with issuers enjoying extremely favourable conditions in the euro market.

Network International, the Dubai-based payment company, closes books on its IPO on Tuesday and has set what it feels is a generous range for investors, with a view to trading up when it is admitted to the London Stock Exchange on Wednesday.

Strategists at Deloitte fear that there is ‘no simple answer’ to the issue of retail investors holding bail-inable bank debt, despite changes in the Bank Recovery and Resolution Directive (BRRD) aiming to reduce participation from the sector.

Yorkshire Building Society is looking to buy back a series of tier twos before their first call date, after Coventry Building Society showed last month that the UK regulator was more relaxed than expected around what firms can do with their capital. But rather than replacing the bonds with an instrument of equal standing, Yorkshire is going one step further than its peer and proposing to issue its first non-preferred senior notes.

DZ Hyp attracted an order book that was more than three times subscribed in 30 minutes for its 15-year Pfandbrief issued on Tuesday. Under normal circumstances, this would be astonishing, but in the context of central bank monetary policy, the hunt for yield and the paucity of supply in this part of the curve, the result was to be expected.

The Netherlands will sell its first green bond next month, via Dutch Direct Auction (DDA), with a maturity of 20 years, as it looks to become the first triple-A sovereign to print green paper.

Moelis & Co, the US investment bank, has hired a senior equity capital markets adviser from Lazard in London.

Deutsche Bank has become the first German bank to offer client clearing through CDSClear, the Paris-based clearing house of LCH.

LG Chem, the chemical and battery producing arm of South Korean group LG, launched its first euro and dollar bonds this week, after a long sojourn in the won market. All three tranches, which were also green bonds, were heavily oversubscribed.

The European Union’s historical approach to short selling bans may have implications for troubled financial services firm Wirecard. According to analysis from Breakout Point, all identified short selling bans in the EU since 2014 have been extended.

Diageo, the UK distiller and brewer, followed its recent habit and issued a multi-tranche bond on Monday — but with a difference. It included sterling notes for the first time since 1995.

The undersupplied European high yield market saw a strong start on Monday, as banks announced new deals from Ineos and Italmatch.