Europe

Investor demand for Møre Boligkreditt’s five year covered bond issued on Wednesday was well in excess of the deal size — even though the negative yield of minus 0.269% means they are bound to lose money if they hold it to maturity.

A pair of CEE corporates, Veon Holdings and NordGold, released initial price guidance for bonds on Tuesday, both offering paper after a break from international issuance.

Neoen, the French renewable energy company, returned to the capital markets on Wednesday, following its popular €697m IPO in October last year, with a debut €200m convertible bond due in 2024.

Metro Bank came back to the sterling market on Wednesday to make a second effort at selling non-preferred senior debt, raising the pricing on its offer by 200bp to 9.5%. Market participants suggested the transaction was already a ‘done deal’, but warned that the interest costs would weigh very heavily on the bank’s profit and loss statement.

Kazakhstan is becoming a prominent feature of equity capital markets, with a number of deals from the country in the market this month. Sources say that they are seeing new interest from investors who have shown little interest in Kazakh risk before now.

Oesterreichische Kontrollbank hit screens on Tuesday with its first ever sustainability bond, raising €500m with an eight year benchmark.

NRW.Bank was well subscribed for its inaugural Sonia-linked floating rate note on Tuesday, with the books closing just one hour after opening.

Italy's new finance minister, Roberto Gualtieri, has said Italy "would like to issue green bonds" to finance investment in greening its economy. Meanwhile, the Treasury has given a mandate for a new inflation-linked bond.

Demire, a German real estate company, issued €600m of unsecured senior notes on Monday, reducing its average financing costs by 90bp. Investors raised some concerns over the deteriorating German economy and big private equity sponsor Apollo but they lapped up the issue nonetheless.

HSBC is reorganising its corporate finance coverage and sending the co-head of the business, Peter Enns, to Asia as part of a global revamp under Greg Guyett, the bank’s new global banking boss.

SR Boligkreditt attracted robust demand for its first green covered bond on Tuesday, enabling the bonds to be priced with a minimal concession.

MUFG has hired a new head of its derivatives solutions group in EMEA from HSBC.