Europe

The long end of the Kanga curve saw action this week, as Japanese investors hunted for yieldy paper.

The €1.25bn 10 year issued by UBS’ holding company (holdco) on Wednesday attracted the largest amount of orders for a non-debut deal of this sort and will spur tier two trades next week.

Handelsbanken sold its entire 6.8% stake in Industrivärden, the Swedish investment company that owns 25% of the bank, for Skr4.49bn ($536m), unwinding the last significant cross-shareholding between Industrivarden and its portfolio of companies.

The Brexit vote has damaged banks’ UK hiring plans and left their revenue projections in tatters, but the country’s status as Europe’s biggest fee pool will remain intact, writes David Rothnie.

UBS and three other banks are working together to apply blockchain technology to making payments and settling transactions in financial markets.

UBS has priced a 10 year senior unsecured bond issued from its holding company which was described as an "absolute blowout."

Swedish Export Credit Corporation had to boost the size of a deal on Wednesday as investors flocked into its books, adding to a strong run for short dated dollar issuance over the last few weeks.

Nederlandse Waterschapsebank has pushed the funding boat out in euros, by selling a rare 50 year MTN.

Bank Nederlandse Gemeenten has tapped a June 2024 line, managing to print €400m despite offering a negative yield. Land NRW will sidestep the negative yield problem on Thursday by moving out the curve.

High yield deals with weaker covenant protections for investors are taking a larger share of the European market and there is no sign of that trend stopping.

Deutsche Bank returned to covered bonds for the third time this year on Wednesday, extending its curve with a tightly priced 12 year.

Two CEEMEA issuers have picked banks for dollar transactions this week — Russia’s EuroChem and Sharjah Islamic Bank.