Regulatory Capital - All Articles

  • Allied Irish bags Eu1.4bn from LM but take-up disappoints

    Allied Irish Banks has released the results of a deeply discounted liability management exercise, claiming that the core tier one accretion resulting from the exercise would be around Eu1.4bn. JP Morgan and Morgan Stanley handled the trade.

    • 28 Jan 2011
  • Commerzbank completes first step on road to freedom

    Commerzbank concluded a capital structure optimisation exercise last Friday (January 21) that is intended to pave the way for the bank to free itself from state ownership. The bank completed a liability management exercise that followed on from a Eu626m capital increase priced earlier this month.

    • 28 Jan 2011
  • Markit Data 1189

    • 28 Jan 2011
  • IMF throws its weight behind contingent capital

    The International Monetary Fund threw its weight behind contingent capital this week, saying that the instruments could be considered as part of a comprehensive and consistent crisis-management framework.

    • 27 Jan 2011
  • AIB bags Eu1.4bn from LM, but take-up disappoints

    Allied Irish Banks has released the results of a deeply discounted liability management exercise, claiming that the core tier one accretion resulting from the exercise would be around Eu1.4bn. JP Morgan and Morgan Stanley handled the trade.

    • 25 Jan 2011
  • Commerzbank completes first step to recovery

    Commerzbank concluded a capital structure optimisation exercise on Friday that is intended to pave the way for the bank to free itself from state ownership. The bank completed a liability management exercise that followed on a Eu626m capital increase priced earlier on this month.

    • 24 Jan 2011
  • MPS decides against tier one calls and fattens coupon

    Banca Monte dei Paschi di Siena will not call two hybrid tier one issues that are due to be called on February 7 and March 21. "The decision is reflective of the extraordinary circumstances attributable to the utmost uncertainty in the current legal and regulatory framework, which does not yet provide for clear guidance on new issues of capital instruments eligible as tier one," the bank said in a statement.

    • 21 Jan 2011
  • Under the hood of the Rabobank hybrid

    Market participants were keen to dissect the Rabobank hybrid’s structure to assess how replicable it would be for other issuers. "The deal has been structured to be compliant with CRD2 from day one but also to incorporate as many of the Basel December requirements as possible.

    • 21 Jan 2011
  • SNS to bolster capital with Aussie sub debt tender

    SNS Bank NV plans to bolster its core tier one capital through a liability management exercise. It has offered to buy back two Australian dollar denominated lower tier two securities at 95% of par.

    • 21 Jan 2011
  • Asian private banks snap up ‘old style’ Prudential hybrid

    Asian private banks were the main buyers of a $550m 7.75% perpetual non-call 5-1/2 year hybrid tier one issue for Prudential that was priced last Friday. Private banks took more than 80% of the deal, with the bulk going to Singapore and Hong Kong, at 50% and 34%, respectively.

    • 21 Jan 2011
  • Rabo reels in Hybrid 2.0 as FIG world looks beyond Basel

    FIG bankers are clamouring for a quick follow-up to Rabobank’s landmark next generation hybrid this week, the first to include a permanent write-down feature. But few are confident that other leading banks will dare to follow in the triple-A Dutch mutual’s pioneering footsteps.

    • 21 Jan 2011
  • Markit Data 1188

    • 21 Jan 2011
  • Strong demand for Scor’s Swiss franc hybrid

    Reinsurance firm Scor issued its first Swiss franc hybrid deal on Thursday, a Sfr400m bond. A generous coupon allowed the issuer to draw strong enough demand to double the size of the deal from its initial plans.

    • 21 Jan 2011
  • Shinsei opts not to make euro lower tier two call

    Shinsei Bank will not call a euro denominated lower tier two issue due to be called on February 23, it announced on Thursday.

    • 21 Jan 2011
  • Shinsei decides against tier two call

    Shinsei Bank will not call a euro denominated lower tier two issue due to be called on February 23, it announced on Thursday.

    • 20 Jan 2011
  • MPS passes on tier one call, fattens coupon

    Banca Monte dei Paschi di Siena will not be calling two hybrid tier one issues that are due to be called on February 7 and March 21. In a statement, the bank said “the decision is reflective of the extraordinary circumstances attributable to the utmost uncertainty in the current legal and regulatory framework, which does not yet provide for clear guidance on new issues of capital instruments eligible as tier one.”

    • 19 Jan 2011
  • Rabobank's trailblazing hybrid to price inside whisper

    Rabobank will price its $2bn perpetual non-call 5-1/2 year hybrid tier one issue at 8.375% on Wednesday, having attracted more than $6.5bn orders for the deal.

    • 19 Jan 2011
  • All eyes on Rabo as issuer starts marketing new style tier one

    There is a lot riding on the new Rabobank hybrid tier one. The deal is the first of its kind, with investors set to suffer a permanent write-down of principal if the issuer breaches a certain capital ratio. In spite of its novelty, market participants are hoping it generates enough interest to pave the way for future issuance from the sector.

    • 18 Jan 2011
  • Asian private banks snap up Pru hybrid

    Asian private banks were the main buyers of a $550m 7.75% perpetual non-call 5-1/2 year hybrid tier one issue for Prudential that priced last Friday.

    • 17 Jan 2011
  • Rabobank to take leap of faith with new style hybrid tier one

    Rabobank is set to be the first issuer to issue a hybrid tier one instrument with permanent write-down features, having mandated Bank of America Merrill Lynch, Credit Suisse, Morgan Stanley and Rabobank for a deal.

    • 17 Jan 2011
  • SNS to bolster capital with Aussie sub debt tender

    SNS Bank NV plans to bolster its core tier one capital through a liability management exercise. It has offered to buy back two Australian dollar denominated lower tier two securities at 95% of par.

    • 17 Jan 2011
  • Prudential to bring hybrid tier one market back to life

    Prudential is set to re-open the hybrid tier one market on Friday when it prices a perpetual non-call 5-1/2 year issue.

    • 14 Jan 2011
  • Markit Data 1187

    • 14 Jan 2011
  • Bondholder-friendly terms on AIB liability management

    Allied Irish Banks this week announced the terms of its liability management exercise, in which it plans to buy its subordinated debt at a deep discount to par. Despite that deep discount, the terms were not as bad as the market had feared and bondholder take-up is likely to be high.

    • 14 Jan 2011
  • Commerz hikes capital for hybrid tender

    Commerzbank on Thursday morning raised Eu626m from a 10% less one share capital increase to fund a tender offer for some of its trust preferred hybrid capital. Investors reacted well to the tactical, opportunistic sale, despite knowing that much larger and strategic Commerzbank share sales are expected this year as it repays state aid.

    • 13 Jan 2011
  • Basel out with final rules for bank capital instruments

    The Basel Committee for Banking Supervision on Thursday released the final details of what features bank capital instruments will need to include in order to be counted as regulatory capital.

    • 13 Jan 2011
  • Pru to bring hybrid tier one market back to life

    Prudential is set to re-open the hybrid tier one market either on Thursday or Friday when it prices a perpetual non-call 5-1/2 year issue. The issuer has mandated Bank of America Merrill Lynch, Barclays Capital, Deutsche Bank, HSBC and Goldman Sachs for the deal which will be at least $300m and will be sold into the Asian private banks network.

    • 13 Jan 2011
  • New FSA proposals could limit opportunistic capital raisings

    A consultation paper put out by the UK Financial Services Authorities at the end of last week could make opportunistic capital raisings much more difficult for banks and insurance companies.

    • 10 Jan 2011
  • Markit Data 1186

    • 07 Jan 2011