LBBW

Crédit Agricole Italia marketed a dual-tranche bond with eight year and 25 year maturities. A steeper curve helped the longer tranche offer a higher pickup against the shorter bond, but investors still placed hefty orders on both tenors.

German agricultural machinery firm Claas has entered the Schuldschein market for a minimum of €150m, with one of the deal's tranches not settling until mid-August.

Investors piled into the euro public sector bond market on Wednesday, allowing borrowers to achieve well subscribed order books and minimal new issue concessions for a range of maturities.

German pharmaceutical firm Vetter launched a Schuldschein on Tuesday, which is the first such offering in the market in 2020.

A strong reception for a five year euro benchmark by KfW on Tuesday was enough to lure in a hesitant flock of public sector borrowers to the euro market as the pipeline stacks up for Wednesday’s business.

Issuers rushed to open the euro covered bond market this week. Trades from ABN Amro, Erste Group and LBBW showed that investors are ready to put cash to work, but higher new issue premiums suggested that issuers were taking a 'conservative' approach at the beginning of the year.

LBBW has picked banks to arrange the sale of a new euro covered bond as activity in the market gets off to a slower start than usual following the new year break.

The covered bond market will enter 2020 on the front foot, supported by a wave of favourable forces such as the European Central Bank’s Asset Purchase Programme and low interest rates.

As a nascent feature of the Schuldschein market, secondary trading still hasn’t developed market norms and many remain unclear about the process.

LBBW is looking to hire a senior syndicate manager in Stuttgart with a focus on financial institutions.

Key Schuldschein arrangers that have long felt uncomfortable with floors at 0% for fixed and floating rate notes are gearing up to bring more borrowers to market with a Euribor floor set below zero in the new year.

Islamic Development Bank took €1bn out of the euro market on Wednesday, as it made its green sukuk debut with investors.