Ireland

A eurozone periphery sovereign is set to meet investors before a possible euro syndication, as a pair of countries from the region unveiled their funding plans for the rest of the year.

Spain’s borrowing costs dropped to their lowest levels since spring at an auction on Thursday, rounding off a week where the country outperformed its nearest peer in secondary markets.

Pentair, the UK-headquartered maker of fluid and thermal systems, priced a €500m bond in line with initial price thoughts on Monday, after deciding to plough ahead with its funding plans despite a difficult market.

Pentair, the UK-headquartered maker of fluid and thermal systems, priced a €500m bond in line with initial price thoughts on Monday, after deciding to plough ahead with its funding plans despite a difficult market.

Ireland has cut its 15 year borrowing costs at its biggest auction of the tenor this year, as Italy prepares to tempt investors even further out the maturity curve.

The Euromoney Smaller European Companies Index Series currently comprises 1350 companies across 16 European countries.

FBD Holdings, the unrated Irish insurance company, told investors in August it would be exploring the option of a bond offering before Solvency II regulations take effect next year, but Irish news media report the deal has been shelved.

Depfa ACS Bank has only one rating remaining after Standard & Poor’s became the second agency to withdraw its covered bond rating this week. Analysts suggest this could result in forced selling of Depfa’s covered bonds if Moody’s follows suit, but they still believe that the bonds will be paid out in full.

The primary market for peripheral European covered bonds leapt back to life this week after a 12 week hiatus, with investors queuing up to buy a series of deals that emerged in quick succession.

The Central Bank of Ireland has clarified rules governing investments by Ireland-registered UCITS funds that want to invest in China A-shares via the Shanghai-Hong Kong Stock Connect.

Issue rating: B2/B-

The Bank Recovery and Resolution Directive was supposed to be universally good for covered bonds because they are excluded from being bailed in. But on Wednesday and Thursday Moody’s and Fitch took opposing views on Allied Irish Banks due to the implementation of their methodologies that take account of the same new regime.