Europe

TAG Immobilien, the German residential property firm, sold 5m treasury shares in a €58.3m block trade, which a lead banker said was multiple times covered.

A source on the Austrian side of negotiations concerning Heta, the State of Carinthia and the Ad Hoc Group of creditors has revealed the depth of feeling regarding a potential payout to Heta’s creditors, saying that such a payment would be “political suicide” for any politicians involved in the deal.

Spain borrowed three year cash at a record low yield on Thursday, as eurozone government bonds basked in a second consecutive week of dovish central bank comments.

LeoVegas, the Swedish mobile gambling company, shot up 44% at the start of trading after its IPO on Thursday, before losing some of its gains in the afternoon.

Nederlandse Waterschapsbank has mandated four banks for a 10 year green benchmark in dollars, following BNG's 10 year dollar deal on March 10.

Lufthansa is in the market with a €300m Schuldschein, choosing the instrument as it offers cheaper rates than the bond market, according to a spokesperson for the German airline.

A brewing crisis over guarantees made by the southern Austrian province of Carinthia has shown little sign of resolving, with creditors drawing up parallels between the state and Argentina's spectacular default.

After a quiet week in which only two benchmark deals took place — including a debut euro benchmark from Finland's Municipality Finance — the sovereign, supranational and agency market is eagerly awaiting a deal from the European Stability Mechanism.

After disclosing on Wednesday details on its €9.3bn debt restructuring, the renewable energy multinational, Abengoa told GlobalCapital it may push to extend the length of its three month pre-insolvency proceedings.

Gazprom printed its Sfr500m bond on Wednesday from a Sfr2bn book, one of the largest ever for an international issuer in the Swiss franc market.

UK covered bonds have not tightened alongside covered bonds from other jurisdictions in recent weeks, but they have not yet seen any real selling either. While it seems likely the UK market would be sold following a potential Brexit, this should provide a buying opportunity given that the market should not widen any further than Canada.

UK moves to restrict the tax deductibility of debt have worried borrowers, such as commercial real estate companies and private equity, whose business model relies on high leverage. But the changes, which follow existing tax avoidance plans from the OECD, have a big escape clause for most firms.