MUFG

The crunch is coming. The Middle East loan market has long offered low margins and lashings of liquidity but pricing is widening, just as issuers flock to the market in droves, writes Elly Whittaker.

Mitsubishi UFJ Securities, the US securities business of MUFG, has started US equity research coverage this week, with a new team consisting of four analysts. Coverage will focus on energy, real estate investment trusts (REITs) and technology.

Ford Auto Finance (China) executed its second auto ABS of the year this week, raising Rmb2.99bn ($467m) with Fuyuan 2015-2 Retail Auto Mortgage Securitization. The amount raised was similar to its last outing in February, but Ford was able to cut its funding costs by an impressive 140bp.

India’s Reliance Industries has selected a group of 13 lenders for a $1bn loan that will refinance a borrowing raised in 2010.

General Electric has terminated an agreement to sell its appliance business to Swedish household appliance producer Electrolux, toasting bankers' plans to provide bridge financing.

A fundraising for a unit of China National Chemical Corp is set to increase to €630m ($683.6m) from the launch size of €600m, after more than 10 banks piled into the syndicate.

Europe's high yield market has made a remarkable comeback in the past fortnight, crowned this week when Ball Corp, the US can maker, priced a €2bn-equivalent bond, highlighting the bullishness of euro markets inflated by QE, writes Victor Jimenez.

A $1.5bn refinancing for Tata Steel has finally been opened into syndication, with invitations going out to a limited number of banks on Thursday. The company’s Singaporean subsidiary is raising the loan, which offers lenders an added incentive if they book the deal in the country.

BPCE issued final guidance on Thursday for its latest multi-tranche Samurai sale, giving investors plenty of choice with two senior and three subordinated tranches.

Kuwait petrochemicals firm Equate is scheduled to complete syndication of $6bn of loans this week.

Ford Auto Finance (China) is preparing for what is set to be the last auto ABS from China this year with the Rmb2.99bn ($469m) Fuyuan 2015-2 Retail Auto Mortgage Securitization due to go live on December 7.

Ball Corp, the US metal packaging manufacturer, wants to issue its first euro bond as part of a €1.5bn-equivalent deal to support the purchase of UK can maker Rexam.