Europe

Intesa Sanpaolo was able to pick up competitive terms on a new tier two this week, after bringing a deal in the sterling market that had already been wall-crossed and underwritten by Morgan Stanley.

After a rocky two months, the CP market is starting to normalise as spreads track in to their pre-pandemic levels and borrowers find themselves flush with cash.

Guarantor: All Danish municipalities and regions

Crédit Mutuel Arkéa, Deutsche Bank and Mitsubishi UFJ Financial Group this week sourced environmental, social and governance senior funding in euros, amid a shortage of supply in the format.

A trio of double-A rated SSA names from South Korea, Central America and France tapped the Swiss franc market this week, raising a combined Sfr550m ($575.8m) and paving the way for other similar issuers to follow.

The Spanish treasury has invited investors to join a call on Friday to discuss the sovereign’s recently updated funding programme for the year.

The interest cost savings may not be enough to entice some countries to accept the European Stability Mechanism’s pandemic crisis loans, with Portuguese and Cypriot officials expressing doubt.

The coronavirus pandemic may have inadvertently solved one of the longest-running complaints about Europe’s equity capital markets: the time it takes to do an IPO. And many in the market hope this is a permanent change, write Sam Kerr and Aidan Gregory.

Rating: A3/A-/BBB

Norway’s Kommunalbanken returned to the domestic New Zealand dollar market after a two year absence on Wednesday with its largest Kauri deal since its debut.

Covered bond spreads look set to keep tightening, particularly German Pfandbriefe, said market watchers. And even though covered bond purchases under the European Central Bank’s Pandemic Emergency Purchase Programme (Pepp) have so far proved rather limited, some bankers believe this buying may increase as the institution announced a bigger than expected increase to the scheme on Thursday.

Crédit Mutuel Arkéa has joined a fast-growing list of banks marketing Covid-19 response funding in the bond market, raising €750m in non-preferred senior format on Thursday to finance projects through its social bond framework that tackle the effects of the pandemic