Europe

Banca Monte dei Paschi di Siena laid out the terms of an offer to retail bondholders to swap their subordinated debt for equity this week. High participation in the liability management exercise is essential if the bank is to complete a planned €5bn capital increase and avoid being placed in resolution.

Norwegian debt manager Lindorff has agreed a €3.4bn bridge-to-bond and a €850m four and a half year super senior credit facility to support its merger with Swedish competitor Intrum Justitia. The combination will create an “undisputed European leader” in debt management, said S&P.

Online consumer loan provider 4Finance plans to increase its euro denominated bonds as it closes its acquisition of unsecured loan specialist TBI Bank from TBIF, the Dutch financial services group.

Crédit Agricole took advantage of a relief rally in OATs to issue a €1.5bn covered bond on Tuesday which, by virtue of its seven year tenor, offered a larger pick-up to Bunds than any other maturity.

DNA, one of Finland’s largest telecommunications companies, has begun bookbuilding for its IPO after announcing the terms on Monday evening.

Covered bond harmonisation is likely to become a more urgent topic for issuers and local regulators after the European Banking Authority published the presentation that it is scheduled to discuss with market participants on Friday.

The Mutual Recognition of Funds (MRF) scheme continues to attract interest from mainland retail investors nearly a year after its launch. However, it is being stifled by poor distribution efforts, scarcity of eligible funds, as well as foreign fund manager uncertainty about what is the best route into China.

TD securities has hired a banker to join its origination and syndication team in London.

The European Securities and Markets Authority has called for a two year delay to rules requiring smaller financial counterparties to centrally clear derivatives trades.

US pharmaceutical company Abbvie hit the corporate new issue market on Monday, making its euro debut as a volatile backdrop in government bonds began to filter into the corporate bond market.

RussNeft, the Russian oil company controlled by its chairman Mikhail Gutseriev, is moving ahead with plans to float in Moscow this quarter.

D2 Legal Technology, an independent financial services legal data and technology consulting firm, has appointed a chief operating officer.