Santander

Bankers close to Chile’s international bond market comeback said that the quality of the order book and long-term diversification meant it was worth the sovereign paying as much as 30bp more to sell 10 year debt in euros than it did in US dollars.

Another rash of block trades appeared in the European market this evening, though not as many as yesterday’s seven. The crop of four deals was led by a trade of €350m in Belgian nappy maker Ontex, where private equity groups TPG and Goldman Sachs are selling down after its IPO in June.

Grupo Actividades de Construcción y Servicios (ACS) of Spain is in talks with a group of banks to refinance €2.2bn of debt, and plans to complete the deal in January 2015.

Chile entered the market on Wednesday with its debut euro trade. It is also expected to announce a long dollar 10 year at the US open, which investors say could be printed at a yield of lower than 3%.

The Spanish insurance company Mapfre is near to completion on a loan refinancing deal with 11 banks.

Burberry Group, the UK fashion house, has refinanced a £300m five year revolving credit facility.

Supportive secondary markets and tightening credit indices have deceived issuers of senior and covered bonds in the FIG market, causing five to pull the plug on new transactions over the span of five trading days. That left market participants wondering if the year is over for FIG issuance, as investors happy with returns on the year have avoided taking on further risk — despite issuers offering spreads that have previously led to successful deals, writes Nathan Collins.

Ben Molony, a FIG DCM banker from Citi, will be joining Santander Global Banking and Markets.

Burberry Group, the UK fashion house, has refinanced a £300m five year revolving credit facility.

Thursday was a busy day for European investment grade corporate bonds, with €4.9bn issued in euros and sterling. But with a great deal of diversity of issuers, maturities and currencies, the market had more appetite for some than for others.

Three issuers from France, Belgium and Germany raised €2.5bn in the covered bond market this week, and another €1bn transaction was expected from a Finnish issuer on Friday. The deals were all remarkable for the fact that the funding levels set new records for all issuers as the ECB’s allocation continued to grow, squeezing out other investors.

Italian power utility firm Enel has decided to raise the number of shares it is selling in Endesa after finding strong demand from investors.