Germany

Anticipation that the European Central Bank will extend its public sector purchase programme on Thursday resulted in what one banker called an “abnormally successful deal” from Erste Abwicklungsanstalt on Monday.

Erste Abwicklungsanstalt is lining up to issue its first public euro bond since October 2013, which is set to be priced before next week's European Central Bank meeting.

The German government is considering new rules that would govern the regulation of loans for construction and residential properties. Though it is not clear whether the rules will become adopted, analysts at LBBW research say that if they are, they should lead to an improvement in the credit quality of Pfandbriefe.

SEB Germany offered the lowest ever yield for a primary covered bond when it issued a three year public sector Pfandbrief on Tuesday. But some sort of positive return was necessary, even if it was minuscule.

Daimler closed its books on Friday for its Schuldschein note, increasing on its launch size from €300m to €1.1bn.

Standard & Poor’s sent Deutsche Bank’s subordinated debt tumbling in secondary this week by slapping the paper with a sub-investment grade rating.

Bayerische Landesbank issued a well oversubscribed Pfandbrief on Tuesday and priced somewhat tighter, and with a longer maturity, than other recently issued German covered bonds.

BMW has kept its bond issuance going apace in the past fortnight, since it returned to the market for the first time after the Volkswagen emissions cheating scandal.

On Wednesday, the same day as Total's debut convertible, came another inaugural deal, from Brenntag, the German chemicals distributor, which has a €7.7bn market cap — dwarfed by Total’s €113bn.

The rampant demand in the convertible bond market, which has produced a run of deals at very attractive terms for issuers, brought two more borrowers into the market today (November 25) with debut deals, Total and Brenntag. But the deals’ execution suggested it might be time for a breather.

Scandic Hotels, the Nordic hotel operator that started taking orders for its IPO on November 17, has released a covered message to investors, a lead banker said on Wednesday.

Standard & Poor’s has sent Deutsche Bank’s subordinated debt tumbling in secondary with a surprise move to slap it with a sub-investment grade rating.