North America

Equity bankers have expressed fear that issuing IPOs this autumn is set to be far harder than expected, with Covd-19 showing little sign of abating and a second wave feared in the colder months.

HSBC has become the latest bank to create a dedicated team for sustainable finance amid the coronavirus crisis. This is part of a new strategic solutions group, which will also house two other solutions units: one for corporate finance, and one for financial institutions and capital.

Li Auto, a Chinese electric vehicle maker, has opened books for an offering of American Depository Shares (ADS) on the Nasdaq.

In this round-up, the already fraught relationship between the US and China faces fresh tests, as both countries continue announcing retaliatory measures against each other.

BioNTech, the German biopharmaceuticals company, is selling 5.5m American Depositary Receipts (ADRs) on the Nasdaq through a share sale and a rights issue. The company, which is working with Pfizer to develop a vaccine for Covid-19, is the latest issuer to hit the market in a wave of biotech ECM issuance — but buyers are being warned against being too eager, reports Sam Kerr.

Reform of the US government sponsored enterprises (GSEs) has always been considered a necessary precursor to establishing a US covered bond legal framework. But with the Covid-19 crisis and November’s presidential elections diverting attention, dollar covered bond issuance will remain dominated by foreign banks, with near term supply prospects likely to be determined by the cross-currency basis swap.

The growth of green convertible bonds is promising and there are hopes for more issuance. However, the market has some way to go before it becomes mainstream, according to sources.

Ivan Tavrin, the former CEO of Russian telecoms company Megafon, is seeking to raise $250m for a special purpose acquisition company (Spac) which is likely to target a merger with a Russian company.

Singapore’s stock exchange and Nasdaq have extended a partnership for dual listings on the bourses with an agreement to co-operate on regulatory matters.

Bank of America was quick to return to the market after reporting its second quarter earnings, using a favourable backdrop on Monday to price a new dual-tranche offering in dollars.

Freeline Theraputics, the UK gene therapeutics company, has filed to list in the US on the Nasdaq exchange, continuing the trend of biotech companies seeking to raise capital in the equity capital markets.

CPPIB Capital mandated banks on Friday for its third dollar benchmark this year as it looks to jump on the back of a strong reception for Canadian and Japanese borrowers in the currency this week.