Europe

A slightly more hawkish than expected US Federal Open Market Committee meeting mid-week has nudged up US Treasury yields — bringing 10 year dollar issuance nearly within SSAs’ reach, said bankers. But in the meantime, SSA bankers are looking at the dollar pipeline with dismay.

Gatwick Airport brought the second sterling investment grade corporate bond of the week on Thursday, following Pennon’s £300m hybrid on Monday.

In September, a number of issuers have returned to the European corporate bond markets after a number of years without issuing. On Wednesday, German chemicals distributor Brenntag, Australian property company Goodman and Austrian steel company Voestalpine were the latest to join that list.

Canadian car parts maker Magna International and French property company Gecina both priced 10 year deals in the European corporate bond market this week. Magna had waited two years since its last euro issue, Gecina just three months.

Energy efficiency data released by the UK government has allowed Barclays to launch a green bond framework based on financing environmentally friendly homes.

Oesterreichische Kontrollbank found an almost empty market as it made a strong return to euro issuance after nearly a decade of absence. The lack of other benchmarks surprised some bankers — although opportunistic deals and SRI issuance now seems likely to make up the bulk of the remaining deals this year with most issuers very well funded.

Three sub-investment grade borrowers printed deals in the high yield corporate bond market on Thursday using different tenors to raise a combined €1.06bn.

Spanish gas distribution company NorteGas Energía Distribución was the only investment grade corporate bond issuer in the euro corporate bond market on Thursday. Its debut deal was a €1.3bn five year and 10 year dual tranche offering with order books totalling €5.4bn.

Stada, the German pharmaceutical firm, has shrunk its leveraged loan by €250m and increased its high yield bond by the same amount, ahead of the loan's commitment deadline on Thursday.

The MiFID II deadline stands. Firms who don't prepare to meet it won’t receive any grace or favour, the FCA has said. But the tough deadline of January 3, and continued lack of regulatory clarity, means firms that show they've done all they can should escape the worst effects.

Türkiye İş Bankası signed a $1.1bn dual currency syndicated loan on Monday with 33 banks at a spread 10bp lower than its first loan this year in May, in line with its peers.

Autostrade per l’Italia, the Italian toll road operator, on Monday printed a €700m 12 year deal to finance a tender offer for up to €650m shorter dated bonds.