Portugal

Dealers will hold an auction to settle credit default swaps referencing Portugal Telecom International Finance, after the International Swaps and Derivatives Association’s (ISDA's) EMEA Determinations Committee ruled that a bankruptcy credit event had been triggered on the contracts

Italy took advantage of a fall in its yields since a Brexit-induced spike late last week to print five year debt at a record low rate on Thursday, while Portugal announced plans for an exchange offer.

European levloan investors snatched up Logoplaste’s €570m of acquisition loans, with many making reverse enquiries for the deal.

Novo Banco is looking to buy back up to €500m of its outstanding senior bonds to take advantage of the low cash price of its bonds and to reduce its funding costs.

Novo Banco is looking to buy back up to €500m of its outstanding senior bonds, as it looks to take advantage of the low cash price of its bonds and reduce funding costs.

A vote for the UK to exit the European Union next week is likely to intensely magnify a strong rush into safe haven assets, but some bankers are still confident that after the initial furore of a ‘Brexit’ there could be room for issuers eyeing euro deals in July to go ahead. And, if the UK opts to stay in the EU, issuers are likely to be lining up to print in July.

Falling government bond yields across Europe have meant investors have been rewarded with impressive returns so far this year. One country however, continues to lag. Portugal has seen its credit risk hover at elevated levels and its government bonds have produced negative returns this year.

Credit Suisse has hired Jerome Renard from Nomura as a managing director in equity capital markets. Renard has broad experience, but taking into account his French nationality and experience in Iberia, he will principally cover those markets.

Portuguese covered bonds were steady on Friday following news that a Portuguese court had granted a provisional injunction against Bank of Portugal (BdP), and following a concern raised on Monday by Moody’s that Portuguese covered bond holders could lose their priority claim. The news emerges as DBRS decides on Friday whether to maintain its investment grade rating on Portugal, without which government bonds would not qualify for the ECB’s purchase programme.

Portugal brought a dual tranche syndicated tap this week, in what some bankers felt was a disappointment amid a busy market where every other deal went well — but the leads were quick to defend the trade.

Rating: Ba1/BB+/BB+

Portugal breathed some liquidity into a pair of outstanding bonds on Wednesday with its first syndication since January, achieving much lower premiums than its last syndication, according to bankers.