NatWest Markets

Suez, the French utility, signed what it claims to be the first ever social revolving credit facility, using elements of green and sustainability-linked financing to create a new Covid-19 era structure to mitigate some of the financial fallout from the coronavirus pandemic.

Platform Housing Group, a UK social housing firm, got chunky demand from the sterling market on Wednesday, with the borrower benefitting from a dearth of deals in the currency.

The UK government looks ever more likely to create a new public sector bank focused on green infrastructure. Policy experts welcome the prospect, but there would be many choices to make over the structure and financing of the organisation.

Platform Housing Group, a UK social housing company, has mandated for a long term sterling benchmark trade, with the company borrowing as it takes on a major development plan.

Lok'nStore, the UK self-storage company, has activated a clause on its £75m revolving credit facility to extend the deal by another year, as UK loans bankers say there has been a flurry of smaller sterling deals in recent weeks.

Guarantor: Federal Republic of Germany

Investors turned out in force as KfW brought its first benchmark green bond of the year this week. The strong demand allowed the German agency to print its joint biggest ever green bond on the back of its largest ever order book for such a deal along with an attractive pricing advantage over a conventional bond.

KfW made a strong return to the benchmark green bond market on Tuesday, taking advantage of a more attractive pricing dynamic for green bonds over conventional issuance compared to earlier in the year.

KKR bidco Planets UK has signed a £2.5bn syndicated loan to support a £4.2bn all-cash acquisition of UK waste management firm Viridor, according to sources familiar with the situation. Merger and acquisition activity is set for a revival in the second half of the year, as previously deferred deals are brought back to the fore and at-risk companies are forced to rethink strategy, bankers say.

KfW will lead the charge in the euro public sector bond market on Tuesday with a €3bn green bond that will match its biggest ever deal in the format. Eurofima and the State of Berlin are also preparing to bring bonds to the euro market.

Financial institutions are set to spend the summer months monitoring conditions for issuance in order to continue funding this year or to frontload funding needs for next year, according to deal arrangers.

Two groups of UK MPs held an online meeting today to welcome and promote a report into how the banking sector can support a ‘just transition’ to a low carbon economy. The report’s recommendations included creating a National Investment Bank to replace the role played by the European Investment Bank and for the UK to issue a green Gilt.