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Senior Debt

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◆ Unusually busy Friday for European bank funding ◆ Small premium, large demand ◆ Meanwhile 10 year OAT-Bund spread breaches 100bp
◆ Market participants await Meta's rumoured euro debut ◆ Carrefour sells first Friday corporate deal since June ◆ Three FIG names hit the market
FIG
Higher new issue premiums make deals shine amid market volatility
Citigroup and Wells Fargo hit positive post-Fed market with a $18bn salvo
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  • FIG
    Senior unsecured bankers on Monday expressed concern that their market might not see supply until after the summer holidays.
  • FIG
    3CIF’s last senior trade, priced on February 1, was welcomed with praise from the market at the time. But on Thursday a syndicator involved in the deal told EuroWeek that the borrower had indicated at the time of issuance it was under pressure from rising costs in the asset class.
  • FIG
    This week’s shocking suspension of Caisse Centrale du Crédit Immobilier de France’s covered bonds from Euronext and the Luxembourg stock exchange has left capital market participants bewildered and angry.
  • FIG
    UBS braved volatile credit markets on Thursday with a €750m two year floating rate benchmark that was priced at 60bp over three month Euribor. Bankers said the deal benefited from a flight to high quality core names and a lack of primary supply — although some said that market conditions affected the size.
  • FIG
    With FIG markets fraught with execution risk given the suspension by French regulators of trading in 3CIF’s covered and senior bonds and a police search of the headquarters of Banca Monte dei Paschi di Siena, this week was an unlikely candidate to see the first senior deal of the month.
  • FIG
    UBS braved volatile credit markets on Thursday with a €750m two year floating rate benchmark, priced at 60bp over three month Euribor. Bankers said the deal benefitted from a flight to high quality core names and a lack of primary supply.