NatWest Markets

Financials dominated the US investment grade issuance calendar this week as investors refused to be put off by geopolitical risks.

Royal Mail Group priced its debut bond today with a €500m 10 year senior unsecured deal, nine months after its privatisation via IPO.

Indonesian telecommunications company Tower Bersama Group has sealed a loan of $300m dual currency loan, exercising the $100m greenshoe after the deal was oversubscribed.

UK firm Imperial Tobacco has signed a $13.19bn-equivalent loan to back its acquisition of brands including Winston and Maverick from Reynolds American.

Christoph Anhamm, RBS's head of covered bond origination, is leaving the bank to take up a broader position at ABN Amro, GlobalCapital understands. Tim Skeet is said to be taking over the position at RBS.

Royal Mail Group, the UK national postal service that was controversially privatised last year, finished the roadshow on Tuesday this week for its first bond issue.

Paper and packaging company Mondi has signed a deal to extend the maturity of a €750m revolving credit facility from 2016 to 2019.

Swiss travel retailer Dufry issued €500m of notes this week in the final chunk of a three-part financing for its Sfr1.55bn (€1.28bn) takeover of rival firm Nuance Group.

Italian defence contractor Finmeccanica has signed a €2.2bn revolving credit facility, €200m smaller than the 2010 facility being refinanced.

The sterling market provided the only senior financial supply this week, with Dexia Crédit Local and Credit Suisse selling deals at the short end. A juicy spread over other highly rated paper propelled Dexia’s government guaranteed issue to exceed expectations, while Credit Suisse also drew strong demand for its floater.

Nationwide on Tuesday became the third British financial institution to offer a three year floating rate note (FRN) in covered format this year. Looking to harness the remnants of the momentum it built in the market during its dual tranche euro deal at the end of last month, the building society’s deal was more oversubscribed than the other two similar deals done this year — from Abbey and Lloyds Bank — which were priced in January.

Asian bond issuers just can't get enough of the euro market. This week it was the turn of India's ONGC Videsh to tap the currency, but it did so in unexpected fashion, launching a dual tranche dollar deal and tacking on a debut euro leg late in the process. From a pricing perspective, the tactic looked to have paid off — and the $2.2bn-equivalent deal was India's biggest G3 issue, writes Virginia Furness.