Morgan Stanley

The euro market is set to outshine dollars in the coming weeks, a pair of issuers showed this week as they demonstrated the depth available at the long end of the curve.

A subdued north Asia equity capital market, which has barely seen any activity since August, suddenly burst into life on September 16. American car rental company Hertz reduced its stake in China Auto Rental (CAR) while Taiwan’s TWi Pharmaceuticals sold GDRs on the same day to raise a combined $187m.

The absence of sizeable IPOs on the Hong Kong Stock Exchange for nearly two months is about to come to an end, with lingerie manufacturer Regina Miracle set to launch its $200m deal next week.

Everything fell into place for Glencore’s $2.5bn capital raising on Tuesday evening, as the company managed to raise its target sum with an accelerated bookbuild as a 9.99% share of its equity, just below the trigger for a rights issue.

The European Stability Mechanism has brought its funding total for the fortnight to €9bn with a curve-building 10 year print.

A supranational borrower looks set to bring an Islamic flavour to this week’s market, after announcing the mandate for its second sukuk.

When Glencore announced plans to raise $2.5bn of equity, all options were open, but one always looked the most likely: an overnight accelerated bookbuild.

A pair of European supranationals are set to pick up size at the long end of the curve this week, after European Stability Mechanism hired banks for its second benchmark in two weeks.

IMAX China started testing investor appetite for its $300m-$500m IPO in Hong Kong on Tuesday, even as sentiment in equity markets remained dour and shares in the city fell 0.49%, tracking losses in Shanghai.

Swire Pacific found success with its $500m bond, making a comeback to the debt market after a gap of nearly two years. The scarcity element of Hong Kong names and the high calibre of the issuer helped drum up robust demand, allowing the company to price its notes with very little new issue premium.

The International Swaps and Derivatives Association is likely to have to change its licensing practices as a result of a $1.9bn credit default swaps price fixing settlement by banks, according to a source familiar with the case.

Stephan Dorner has left his job as covered bond and SSA analyst at the French bank for a new gig at Morgan Stanley.