Europe

Bank of Montreal raised £400m ($569m) of five year funding in covered bonds on Monday following £1bn deals from Santander UK and Nationwide last week. But with fewer sterling covered bonds redeeming after this month, primary activity is expected to slow down.

CEVA Logistics, the Swiss logistics and freight company, will provide Europe’s choppy IPO market with its first big test of investor sentiment since before the Easter holidays, having filed an intention to float document on Monday.

Commerzbank reset the pricing of its covered bond curve to a more realistic market clearing level with its €500m 10 year on Monday, as Erste Group, HSBC, Axa Bank and mBank Hipoteczny announced deals.

Two banks spotted an opportunity to line up first-of-a-kind deals on Monday. For one it is set to be its first ever senior bond in euros, and for the other the deal that comes out will be its first rated senior bond.

UK ticket printing company Paragon Group returned to the euro private placement (PP) market on Monday, becoming the first non-French issuer to raise Euro PP notes this year.

BMW sold one of the first two trades in the euro corporate bond market in 2018. It took until April to follow that with a five-tranche offering in the dollar market. It waited less than the week then to make its first visit to the sterling market, but found sterling investors in a similarly stubborn mood to that of euro investors.

BNP Paribas and Berlin Hyp said on Monday that they were both looking at selling green senior unsecured bonds in the euro market, leaving as many as four financial institutions in the pipeline for new socially responsible deals.

Turkish real estate developer Ronesans Gayrimenkul Yatirim (RGY) has announced plans for a global roadshow ahead of a planned dollar Eurobond debut.

Hypo Noe surfaced with a €500m senior bond on Monday, having waited three weeks after the end of a roadshow before bringing the deal to euro investors.

Shares in EN+ Group, the Russian power and metals company controlled by Oleg Deripaska, sold off 20% on Friday afternoon after the company was named on a detailed new sanctions list by the US government.

Santander UK found strong demand for a three year floating rate sterling covered bond on Friday and will be followed by Sparebank 1, which has mandated leads for investor meetings with a view to issuing a sterling five year. At the same time, SBanken Boligkreditt has mandated leads for a roadshow with a view to issuing its first euro deal.

South Korea’s GS Caltex Corp sealed a Swiss franc denominated bond on Thursday, diversifying away from its usual Korean won and US dollar funding.