Europe

After more than three years of negotiations, European Union ambassadors are aiming to approve, at a technical level, a CCP resolution deal on Wednesday, opening the way for final negotiations with the European Parliament.

Italy printed an €800m 20 year inflation linked private placement on Thursday, satisfying demand from a single investor.

Groupe BPCE and BNP Paribas issued green bonds this week, attracting strong levels of demand for such a late stage in the year.

A number of untested European companies have made their entrance to the international high yield bond market in the past two weeks as central banks fuel conditions that pamper repeat and new issuers alike, while driving investors into ever riskier assets in a hunt for yield. Karoliina Liimatainen reports.

Senior SSA bankers have begun thinking about how the public sector bond market will open up in 2020 with the expectation that there will be very little, if any, benchmark supply in euros and dollars before the end of the year.

Chorus, New Zealand’s largest fixed line telecoms business, launched a €300m no-grow seven year bond on Thursday — the only corporate euro issue of the day.

Enel is banking on saving money on its cost of debt by using sustainable finance, as it increases its use of sustainability-linked bonds. But it sees this as a halfway house, until the rating agencies properly reflect the company’s sustainability with better credit ratings.

Pension Insurance Corporation (PIC) published a report on Thursday making the case for institutional investment into UK social housing. The sector has come under pressure from falls in government funding and the increasing costs of developing new homes. Capital from the insurance sector could provide a valve, PIC claims.

Private equity firm Silver Lake acquired a 10% stake in City Football Group (CFG), the holding company that owns Manchester City FC, for $500m on Wednesday. The deal has been greeted as a watershed in the way football clubs are financed and is tipped to spark copycat deals.

Nasdaq has developed a new method for pricing Danish covered bonds, which are typically more difficult to price than fixed-rate euro deals because of prepayment risks of mortgages in the underlying pool and negative convexity associated with callable deals.

Assets held by mutual and exchange-traded funds focused on environmental, social and governance (ESG) factors are set to rocket over the next few years, according to research by Société Générale.

It is with much sadness that GlobalCapital reports the death of David Pepper, Bank of America’s head of loan capital markets for Europe, the Middle East and Africa.