Loans and High Yield

Yuzhou Properties Co became the latest Chinese borrower to wrap up its offshore issuance quota for the year after selling a $500m bond on Thursday.

Anton Oilfield Services Group returned to the the dollar market on Thursday after a two-year break. The company's story has changed since its last bond sale, and investors were ready to embrace the improved credit.

Teva, the Israeli-US pharmaceutical company, priced a $2.1bn bond package at the tighter end of the initial price thoughts this week. While it is yet to come to a settlement over its alleged involvement in the US opioid crisis, investors were happy to jump aboard a rare double-B issue yielding up to 7%.

Unlike in 2016, investment grade bond buyers reaching for yield after the European Central Bank started buying eurozone corporate bonds have been heading first for longer-dated investment grade and subordinated bonds, rather than dipping down into high yield territory.

A slump in revenue growth during an economic downturn could trigger a change in investors’ risk appetite and a “widespread” sell-off of corporate bonds, the Organisation for Economic Cooperation and Development warned on Thursday.

Alabama-based Medical Properties Trust is marketing a dual tranche, split-rated sterling bond, to pay back loans drawn to buy nine UK private hospitals this year. The company’s marketing materials highlighted that the UK’s National Health Service had doubled its spending in the private sector since 2009, but the opposition Labour Party has committed to end this outsourcing if it returns to power in December’s election.

Credit fund money is flooding into UK companies, despite a shaky economy and prolonged uncertainty surrounding the country’s exit from the EU. Less popular markets such as the Nordics present expansion opportunities, but the UK has consistently been the top location for private debt deals.

Taiwanese electronic component company Yageo Corp has received a chunky $1.1bn bridge loan to support its acquisition of Kemet Corp, a US-based company in the same industry.

Israeli-US pharmaceutical company Teva has priced a $2.1bn bond package at the tighter end of initial price thoughts. Although Teva is still to sign a binding global settlement on its involvement in the opioid crisis, investors were happy to jump aboard a rare double-B issue yielding as much as 7%.

Investment grade companies are rushing to Europe's bond market in the last major issuing window of the year, but fatigue is setting in and investors are expected to start kicking back on large spread movements during execution.

Three bankers have recently joined Natixis’s telecom industry group. Two are in Paris and one is in Singapore.

The price on Tunghsu Group’s only dollar bond has plunged by more than 20 points in the secondary market, following missed payments in onshore China by a key subsidiary. Addison Gong reports.